Can GoPro And Twitter Turn Things Around By Joining Forces?

Over the past year, shares of social media site Twitter Inc (NYSE: TWTR) have lost nearly 60 percent, as investors worried about the firm's profit potential going forward.

Action camera maker GoPro Inc (NASDAQ: GRPO) has suffered a similar fate, with its shares losing roughly 80 percent over the past 12 months.

However, the two underdogs have decided to join forces in an effort to turn things around in the coming year.

Periscope

With worries about user growth and major management changes weighing on Twitter, a new live-streaming app called Periscope is just about the only positive thing the firm has going for it at the moment. Periscope allows users to live-stream events from their smartphones, a unique feature that only Twitter currently offers social media users.

Most agree that Periscope has the potential to revive the firm's image and attract new users, and Twitter is hoping that by bringing in new partners, the app's growth will be exponential.

Collaboration

GoPro has teamed up with Twitter, according to the Wall Street Journal, and announced that its Hero 4 cameras are able to connect to Periscope and live-stream whatever the user is recording.

The connection is designed to allow users to use both their smartphones and their GoPro cameras intermittently without interrupting the live broadcast.

Mutually Beneficial

While the GoPro/Twitter partnership may not be enough to save either firm from declining user numbers, it certainly isn't expected to hurt their chances at a revival.

GoPro is working to remake itself into more than just a camera-maker. The firm is hoping to integrate editing and sharing features into its cameras in order to generate new revenue streams, and the Periscope collaboration is a major step forward for this transition.

For Twitter, adding GoPro footage to its live-streaming offering will be a great way to improve the quality of content offered on Periscope. As GoPro cameras are known for capturing action footage from dynamic angles, the footage uploaded by GoPro users is expected to enhance Periscope's offerings and make the service more appealing to users.