Home Business News Google and Fitbit are Reportedly Working Out an Acquisition Deal

Google and Fitbit are Reportedly Working Out an Acquisition Deal

0
SHARE

Numerous reports have shown that Fitbit is open to the possibility of selling its brand and everything that comes with it. The reason behind this is that Fitbit is having a difficult time competing against Apple and its famous Watch Series devices that have taken the wearables industry by storm during this past couple of years. Google is one of the prospective buyers for Fitbit and this deal makes sense because just like Fitbit, the Android parent has failed to take over the market with the Wear OS partnerships.

Google Made a Significant Offer

Google has reportedly already made an offer to Fitbit and according to Reuters, the two companies are currently discussing the terms of their deals and figuring out what price Google should pay. This is going to be one of the biggest deals in the wearables industry. Not just that, but thanks to the reports which reveal the deal, Fitbit’s stock has already risen by 30 percent.

It’s Not a Done Deal

Even though Fitbit’s stock has skyrocketed and Google is serious about purchasing the wearable maker, this doesn’t mean that the deal is guaranteed to go through. The two companies still need to decide on the price and obviously, Fitbit is going to try and squeeze out the most that it can from the Android parent.

Pixel-Branded Smartwatches

Another important detail that we want to mention is that Google might not create Fitbit-branded devices and instead, use the company to create its own Pixel-branded smartwatches. Google acquired $40 million worth of smartwatch technology from Fossil in January and this is leading us to believe that the Android parent is determined to create the much-anticipated Pixel smartwatches.

In addition, this wouldn’t be the first time that Google acquires a big-brand and uses it to create Android products. Just take for example when Google purchased a part of HTC’s smartphone division to work on the flagship Pixel smartphones.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.