Foxconn Buys Minority Stake in GoPro for $200 Million
OutdoorHub Reporters 01.03.13
GoPro had a good holiday season. On December 20, 2012, Foxconn, the world’s largest electronics manufacturing company, purchased an 8.88 percent full-diluted stake in GoPro, maker of high-definition versatile camera popular with extreme sports videographers, for $200 million. The purchase raises the value of Woodman Labs, maker of GoPro, to about $2.25 billion. The company is based in San Mateo, California.
As part of the purchase, Terry Gou, Foxconn’s founder and CEO, will join GoPro’s board. Foxconn, also known as Hon Hai Precision, is notable for manufacturing products such as the Apple iPhone, iPad, Sony PlayStation and Microsoft Xbox. GoPro’s founder and CEO, Nick Woodman, hailed the addition of Foxconn to the company.
“Needless to say, we are over the moon to have Terry Gou and Foxconn join us on our mission to scale GoPro into one of the great enabling companies of our time,” said Woodman in a press release. “Foxconn and GoPro see a future where personal content capture and enjoyment will play an increasingly important role in our lives and we’re excited to combine efforts to strengthen GoPro’s position in that future.”
Terry Gou added, “I saw a great opportunity in investing in GoPro, not only the company’s product lines but also the man who is running the company. The first time I saw Nick Woodman, I immediately knew he was an outstanding entrepreneur who has the caliber to be very successful in this business. And together with Foxconn, the outlook of this company is even brighter as we commit to helping it achieve its fullest potential.”
A Foxconn spokesperson told Bloomberg news that GoPro’s image-capture technology complements the existing technology owned by Foxconn, based out of Taiwan.
In his article, Forbes writer Ryan Mac mentions the not-so-secret success GoPro has enjoyed among sports filmmakers. “GoPro cameras have become the go-to item for filming extreme sports. The small, high quality video cameras–made by the privately held Woodman Labs–can be strapped onto the bodies of surfers, skydivers and skiers to capture high-definition video footage like never before. The runaway success of the product has now turned Woodman Labs’ namesake and founder, Nicholas Woodman, 36, into a billionaire.”
