GoPro Drone Release Date Hangs In Uncertainty

The action camera maker has delayed the launch of the highly anticipated quadcopter.

The release date of long awaited GoPro first quadcopter drone has been extended and is loosely to be sometime around the holidays, the company announced on Thursday. Earlier, the expected launch was somewhere in June. Reportedly, the device’s launch has been barred due to some “fine-tuning.”

Although, making product right has to be the priority of any company but numerous delays are not favorable for the company who –last year –has lost around 80% of its market value. Once booming, the action camera maker’s business has suffered a massive slump lately. The company has been continuously making efforts to make up for the loss but its efforts are going in vain. Therefore, the action maker company is under immense pressure to launch a brilliant product in the market.

Even though the drone market is in its initial phase however it has been crowded with a large number of competent competitors. Although GoPro has modest and popular brand and firm retail distribution channels however chances of standing out in the market will narrow if the company fails to integrate innovations in the device.

At several occasions, GoPro’s Chief Executive Officer, Nick Woodman has expressed that the highly anticipated quadcopter, Karma, is accompanied with “revolutionary features” which will make it stand out. However, the details of the features have not been disclosed yet. The only thing known regarding the drones is supposedly arch-rival DJI –Chinese drone manufacturer. DJIs cameras don’t only have high-definition but they have features like auto-pilot which avoid the drones from collision.

Over the period, drone prices have fluctuated. According to Piper Jaffray analyst Erinn Murphy, the prices of the drones have gone from the high of $700-$900 to $400-$600, only in the current year.

Last week, GoPro posted its earnings which showed a huge decline in its sales. The same weakening results are expected from the company until it finally launches its new Hero camera lineup –which is also expected sometime in fall. Also, the delay in the launch of Karma shows that the company lacks the inventory of new products to launch and sell for next several months.

By the looks of it, by the end of the year, the San Mateo, Calif. firm will release its very first annual sales decline. Also, the company’s expenditure has been increasing at a fast pace in order to trigger sales and develop new products. In the forgone first quarter, operating expenses increased 28% year over year while the revenue fell down 49%. According to FaceSet, the analysts anticipate that the action camera maker is likely to lose money for at least the next couple of years.

At the market which closed on Friday, GoPro Inc. stock stood at a price of $10.46.