GoPro , maker of action cameras of the same name, said it will cut its workforce by about 15% this year as part of a restructuring initiative aimed at reducing operating costs. The company's board of directors has approved the restructuring plan .
The company is expected to save $5 million to $7 million from these layoffs (about $1 million in the third quarter and about $4 million to $6 million in the fourth quarter of 2024).
GoPro's layoffs, which will affect about 139 jobs, are expected to begin in the third quarter and be completed by the end of the year.
Shares of GoPro, which had 925 full-time employees at the end of the second quarter of 2024, rose 1.5% after the layoffs were announced.
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Additionally, GoPro's second-quarter financial performance revealed a decline in revenue to $ 186 million , down 22.7% from the same period last year. The company also reported operating expenses of $ 103 million , up 5% from 2023.
No industry sector has been left untouched by layoffs. Even the largest companies across sectors have been making layoffs for various reasons, across various departments. Google ,Tesla ,Dyson ,General Motors, Nike and UKG are some of the companies that laid off a number of employees in 2024.
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In May, the United States International Trade Commission announced that it was launching an investigation into GoPro's allegations that its patents related to cameras, systems, and accessories are being infringed by Arashi Vision, a Chinese company. The investigation focuses on GoPro's allegations that Arashi Vision imported products incorporating GoPro's patented technologies into the United States.
Source: www.reuters.com
