GoPro's third quarter revenue was dismal. Analysts had expected it before the financial report was even released. The company's future is even more uncertain now that its Karma drone is being recalled. Indeed, GoPro's latest product is not the only one crashing down.
Recall Of Karma Drones Amidst Crash Reports
GoPro is recalling its Karma drone amidst of reports that their product is crashing from the sky. The company's drone was just released to the market last October. This is a huge blow to GoPro since they are banking on both their Karma drone and Hero5 camera products.
According to the Tech Times, the problems reported by owners include the loss of power while the drone is in flight and the loss of the connection between the drone and the pilot. The result was Karma drones crashing down from the sky. Such incidents could lead to people getting hurt or property being damaged.
One of the Karma drone owners is Brian Warholak. He was able to upload the video taken of the drone falling. Others have also shared the same problem through YouTube. Apparently, it was Warholak's video that initiated the whole recall process.
Why Does The Karma Crashes Down?
The Verge reports that sources think the reason of the crash is the placement of the drone's camera and gimbal. Normally, drones have their camera beneath them. It is to establish a solid center of gravity. However, the Karma drone deviated from this.
The camera was placed out front. It allowed the drone to fight for its balance while on air. Furthermore, early testing revealed that such design led to greater vibration. This will cause the Karma drone to experience a power failure. Thus, adding more factors for it to crash down.
GoPro's Financial Problem
GoPro was actually looking forward to their latest products. They were optimistic that the Karma drone and the Hero5 camera could get them back up. The company's third-quarter revenue this year was down to only $240.56 million. It was a 39.9 percent year-over-year change to last year's $400.34 million.
It also suffered a loss of $0.60 per share from last year's $0.25. The recall of its Karma drones is not going to help GoPro's cause.
