Topline
The iconic wearable camera manufacturer GoPro announced a $285 million merger deal with a company that produces optical equipment for AI infrastructure on Tuesday, while also announcing a new effort to diversify its business to also produce optical and imaging technology for AI infrastructure and national security purposes.
The announcement sent its stock soaring.
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Key Facts
GoPro said it was planning to merge with Starman Optical, a privately held company owned by Starman Holdings that produces optical transceivers—devices that turn data into light for high-speed communication.
The $285 million deal will pay GoPro shareholders $1.14 per share, and shareholders will retain control of approximately 10% of the company.
The merger will also pay off GoPro’s roughly $92 million in debt after closing, the companies said.
The announcement also noted the company would expand its business into producing technology for artificial intelligence, defense, government contracts, robotics and aerospace—including “cameras, optics and AI infrastructure,” GoPro founder and CEO Nicholas Woodman said in a statement.
However, GoPro said it would still “fully support” its consumer products and remain a publicly traded company.
GoPro’s stock skyrocketed on Tuesday after the announcement, and remained up over 40% after settling just over $1.25 a share.
Tangent
The announcement comes only two days after Bloomberg first reported Mark Fischbach, the YouTube content creator and filmmaker better known as Markiplier, purchased an 8.5% stake in GoPro. This turned the YouTuber into the company’s largest single shareholder. In an interview with the outlet, Markiplier said he thought the stock was “undervalued” and wanted the company to succeed. Markiplier has nearly 39 million followers on YouTube, and his debut feature film “Iron Lung” became a surprise hit earlier this year, grossing over $50 million globally on a reported budget of $3 million. After Fischbach’s stake in the company became public, GoPro’s stock began climbing, jumping 46% on Monday before declining again.
WHAT OTHER NOTABLE COMPANIES HAVE PIVOTED TO AI BRANDING?
GoPro joins several companies pivoting to provide technology for AI infrastructure buildout. CoreWeave, a company founded as a cryptocurrency mining firm in 2017, pivoted to becoming a cloud computing and AI infrastructure provider. The firm went public in 2025, and has since made billions for its founders. Others have been less successful—in April, sneaker company Allbirds announced it would pivot into becoming an AI infrastructure company after previously selling off its shoe assets. The company officially rebranded as “Smartbird” in June. Both moves caused the company’s stock price to spike, but these didn’t last and it remains down around 42% year-to-date.
Key Background
GoPro went public in 2014 with an initial public offering selling shares at $24, and the brand became synonymous with wearable cameras. However, the company’s stock price has fallen significantly in recent years, and was down over 55% year-to-date before this week’s spikes. It was trading at just $0.60 per share on Friday when markets closed, before the news of Markiplier’s stake in the company broke.
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