Below is email from GoPro Support to me:
We recommend name brand SD cards with a class 4 rating or higher, but have recently come to learn that even some name brand cards such as the Sandisk 32GB, are having compatibility issues with the HD HERO camera.
We are currently working on doing a full listing of recommended (and not recommended) cards. We are researching further to determine why some cards are not adhering to the spec to which our SD card host adapter conforms. For what it's worth, internally we use Kingston or Patriot brand cards: 16GB, Class 4 without issue, so can safely recommend those.
Please do try out one of the Kingston or Patriot brand cards.