GoPro announced this morning it would cut 200 jobs and shutter its entertainment division in a bid to return to profitability in 2017.
The company buried the restructuring news in a release touting the strong sales of the Hero5 camera over Thanksgiving weekend.
GoPro will also stop filling open positions, reduce the number of its facilities, and eliminate the job of company president Tony Bates. The restructuring will reduce the company’s workforce by 15%.
By closing the entertainment division, GoPro is focusing on its core mission – making hardware.
Previously, the company wanted to expand beyond just hardware by becoming an entertainment and streaming company to showcase amateur and professional content captured on GoPro cameras.
The company created the GoPro Awards as part of the entertainment division to reward content creators for their work. It also was developing relationships with brands and Hollywood as part of the quest to broaden its business.
"Consumer demand for GoPro is solid and we've sharply narrowed our focus to concentrate on our core business," CEO Nicholas Woodman said in a statement.