Taiwanese manufacturing giant Foxconn, which is well known for all of the Apple products it produces, announced on Thursday it was purchasing 9% of GoPro the camera maker that has been the buzz of late.
Foxconn’s investment is $200 million, which puts a value of approximately $2.25 billion on the privately held camera maker. GoPro, makers of durable and waterproof cameras used by many extreme sports participants, has been rumored to be getting ready for a springtime initial public offering.
Foxconn is most commonly known as the contracted manufacturer of nearly 40% of the consumer electronics gadgets sold across the globe. However, the company also has an expanding technology segment of its own. Foxconn, in March, became the largest shareholder in Sharp with an investment of more than $800 million in the tech giant based in Japan.
Currently, Foxconn is not making any products for GoPro, according to a spokesperson from the camera company. However, that could and probably will change. The CEO of Foxconn, Terry Gou, called the company’s investment in GoPro, a very good opportunity. He will become a part of the board of directors of GoPro.
Foxconn has received criticism for subjecting workers to long hours and difficult working conditions. However, it has worked for most of this year with Fair Labor Association to improve the working facilities and its organization.
Nicolas Woodman the CEO of GoPro said via a statement that the company was pleased to have Foxconn and its CEO Terry Gou joining GoPro to help grow the company as much as possible.
Foxconn has made its investment in GoPro to help boost the product portfolio of its own business. A Foxconn spokesperson said the company needed to have image capture technology to help complement its existing display technology.