GoPro says there's "substantial doubt" about its future

Image: GoPro GoPro is coming off of what may be one of its most exciting product announcements in years, but its most recent communication to investors and regulators could cast a shadow over the launch. In it, the company says that new market forces "raise substantial doubt about the Company’s ability to continue as a going concern," citing "unprecedented increases and volatility in memory costs" that have seen price increases of up to 115%. There's a fair amount of nuance and complexity to the situation, most of which is pretty deep in the financial weeds. The upshot is that the company's management is taking several steps to try and avoid defaulting on loans, including exploring a sale or merger, investigating "opportunities within the defense and aerospace sector," selling "certain non-critical assets" and negotiating with lenders. It also says that it's "reducing operating expenses through disciplined cost management," citing its recently announced layoff of 23% of its