Posted by aanet 4 days ago
Insta360 is the company that has essentially taken over this space.
The harder path is not being a shit CEO.
Memory is the acute issue causing their struggles; their most recent quarter saw a gross margin of 4.5% (that's revenue minus the direct cost of producing the cameras, divided by the revenue). That's a hefty fall from their previous margin of ~31%. This contributed to their operating loss of $57M in the last 3 months.
Thag being said, they haven't had a positive quarterly operating income since the last quarter of 2022, even when the margin was higher than 4.5%. So it's not like they were succeeding before the memory crunch, just losing money slower.
Most companies just sponsor a team or something, but Red Bull has paid for the baseline infrastructure of many sports.
They don't have the type of insane cashflow that RedBull does to sponsor tons of athletes and weird events, but their video contests are kind of a big deal in the action sports community.
AKA, their Line of the Winter[1] competition for skiing, or their Best Line conest for MTB[2] that they used to run. And they're the title sponsor for the GoPro Mountain Games[3].
They're still THE action sports cameara carried in a lot of outdoor equipment stores, but the Insta360 has really dominated social media recently, and their products are currently a better value for cost/performance.
[1] https://gopro.com/en/us/awards/line-of-the-winter [2] https://www.pinkbike.com/news/enter-the-gopro-of-the-world-b... [3] https://mountaingames.com/
Redbulls gross margins are probably 90%. It’s basically just water, sugar, and caffeine sold for $3.
You can do a lot of great promotions if the cost of your product is a rounding error.
... and some of their products don't even have sugar!
Gopro has this cool reliable aura around them. How could they he struggling? So bizarre
As a long-time GoPro owner who recently added an Insta360 X5 to his collection, I can't really see any meaningful difference in software horribleness. They are both really really bad, with ads everywhere constantly pushing subscriptions to their cloud services.
At least with the normal cameras the software can be entirely ignored, I can take video from my Hero5 straight in to any ordinary NLE and go from there, but the 360 camera requires their software to convert from the native format to anything usable, even if I'm keeping it as 360 footage.
The worst part IMO for both is that they prioritize mobile apps over their PC software so if you want to edit on a computer like a normal reasonable person you lose features compared to idiotically doing things on a phone.
This was my main gripe, but also:
* Image stabilization (Hypersmooth Pro/ReelSteady) as a subscription feature.
* Auto-rotate and orientation lock don't work in streaming mode. (I reported this as a bug on the Hero7, was told it was being looked at, still a problem on the Hero10 when I stopped paying attention)
For what it's worth, DJI does offer desktop software for their Osmo action cams. They also have a direct NAS/cloud storage upload option from the camera, as well as allowing normal transfer over USB or by pulling the SD card.
This is my biggest issue as well. It's actually the one "real" thing I use the iPad for. It still gets the mobile app interface whilst being on a bigger screen and being almost usable.
On top of that, when GoPro first launched mobile phones generally did not have cameras capable of producing production-quality images, and especially video. 20 years later, the game is much different.
Remember the Flip video camera that was all the rage for like 2 years and then just disappeared when cellphones could shoot video? GoPro is like a rugged Flip, so it took a little longer for the world to catch up to them, but now there are lots of options, and a "cheap" sports camera that is 1/4 the price of a GoPro is good enough, even if it only lasts 1/2 as long.
Giving billions of free money to shareholders of Intel & friends is going to do absolutely nothing to change the tide. Want domestic manufacturing? Invest in building a JLCPCB alternative: automated to the fullest extent possible in order to save fractions of a cent on ops, then operated on a razor-thin margin but making up for it in volume.
Chinese people aren't the lazy dumb manual workers we have long pretended they are. After we have freely given them all of our engineering knowledge with outsourcing, they are now beating us on the free market. If we don't internalize this, stop with the silly competition-destroying tariffs, and try to compete again, we are doomed to slide into irrelevancy - and we've got only ourselves to blame.
The same thing is happening to BMW, Toyota,Mercedes...
They are just not as good. I bought GoPro10 ~5 years ago and it constantly overheats. Very unreliable. It was the first and last time I bought GoPro.
It's possible they are just poorly run, and they spend more in R&D than they recoup in revenue, but I strongly suspect they were set up to only be profitable if they sold millions of cameras per year as an attempt to maximize profits at that volume, without consideration of other scenarios.