Sports camera company GoPro is set to enter the AI data center market via a merger with an optical-photonics company.

The company revealed on Tuesday, September 1, that it had entered into a definitive merger agreement with Starman Optical and Action Acquisitions.

Under the agreement, GoPro will remain a publicly listed company and continue its consumer products, subscription, and cloud platform offering, while adding Starman's US-made optical transceivers to its portfolio, enabling GoPro to target the AI infrastructure market.

"Advanced optics and imaging are essential to AI, national security, and the broader economy, yet much of the critical hardware supporting these technologies continues to be manufactured overseas," said Charles Tebele, CEO of Starman Holding. "The combination of GoPro's world-class optical expertise and intellectual property with Starman's advanced transceiver capabilities and US manufacturing platform creates a unique opportunity. Together, we intend to bring production of these critical components back to the United States."

Nicholas Woodman, founder and CEO of GoPro, added: "We expect this merger to enable GoPro to grow across consumer, commercial, and defense markets as a leading American imaging and optical solutions company, addressing important areas of national security related to cameras, optics, and AI infrastructure. We're excited to combine with the Starman team to capitalize on this opportunity and play an important role in America's future."

As a result of the merger, GoPro shareholders will receive an aggregate cash payment of $285 million. GoPro's outstanding debt of $92 million will also be paid in full, enabling the company to operate with a debt-free balance sheet.

The merger agreement is subject to shareholder approval and regulatory approvals, and is expected to be completed by the end of calendar year 2026.

Houlihan Lokey, Inc. is acting as financial advisor, and Fenwick & West LLP is serving as legal counsel to GoPro.

This is the latest company to pivot into the AI data center space. In late August, US-based Healthy Choices Wellness Corp - the holding company behind a number of wellness retailers and centers, including Ellwood Thompson's and GreenAcres Market - shareholders approved a reverse merger by the company with data center firm Host Digital Infrastructure.

Other examples of similarly unexpected pivots include shoe company Allbirds, a Taiwanese whiskey importer, a recruitment website, a Singaporean healthcare company, an Indian TV production firm, a Chinese car loan financing company, an aviation operator, and an owner of Hard Rock Cafe franchises in Malaysia.