It is reported that Xiaomi is considering the acquisition of GoPro
China smartphone maker Xiaomi reported that it is considering the acquisition of GoPro which is difficult to manage. Following this report GoPro shares are skyrocketing.
GoPro Surges on Report That Xiaomi Has Considered an Offer - Bloomberg
GoPro is a pioneer of action cameras, but has suffered from management difficulties due to the brawl of inexpensive rival machines made in China. GoPro is already considering selling the business, and in January 2018 he contracted with JP Morgan to sell itIt was reported. However, the market capitalization of GoPro, which was a billion dollars (about 110 billion yen) at the time of this report, has drastically decreased to less than 800 million dollars (about 86 billion yen) at the time of article creation.
More than three months after the sale report, it turned out that Xiaomi, the world's fifth largest smartphone maker, is considering the acquisition of GoPro. In addition to smartphones, Xiaomi is actively entering into the field of home appliances, acquiring Yi of the action camera and releasing its own brand "Yi II". According to Bloomberg, the brand value of GoPro is extremely high, and Xiaomi seems to have great merit in the global sales strategy of action cameras if GoPro is acquired.
Xiaomi's super-discount action camera "Yi II" review with built-in LCD monitor and 4K shots at GoPro's half price - GIGAZINE
Also, GoPro also entered the drone business as part of its business development, but there have been past failures.Xiaomi is also handling the drone businessIn some cases, if Xiaomi acquires GoPro, there is a possibility that drone of GoPro brand will appear again.
GoPro's first all-in-drawn "Karma" is foldable and it's easy to carry Portable and simple operation possible with children - GIGAZINE
When the possibility of the acquisition of GoPro by Xiaomi is reported, the GoPro stock price has risen by 7%.