Google announced it would acquire ace watch-maker Fossil’s smartwatch technology for $ 40 million. Fossil has been one of Google’s oldest partners in the wearable tech spacde and it only makes sense the two companies struck a deal. However, Google wouldn’t be acquiring anything tangible but would rather be acquiring intellectual property. Fossil will hand over an innovative technology that’s not yet hit the market along with a portion of its R&D over to Google.
The addition of Fossil Group’s technology and team to Google demonstrates our commitment to the wearables industry by enabling a diverse portfolio of smartwatches and supporting the ever-evolving needs of the vitality-seeking, on-the-go consumer.Stacey Burr, President of product management, Google’s WearOS
In an interview with Wareable, Greg McKelvey, EVP of Fossil Group, told that it was the technology that was developed on top the Misfit’s one after its acquisition. Fossil bought the American consumer electronics company for $ 260 million back in 2015. “It’s based on something out of our timeline, it’s new to the market technology and we think it’s a product that has features and benefits that aren’t in the category today,” he said in the interview.
The news was well received on the stock market. Fossil’s stocks rose by over 8% to reach a value of $ 18/share just as the acquisition was announced.
A Pixel watch on its way?
While Google has been excelling in the smartphone industry, they have gotten rather complacent in smartwatches. Apple has been the undoubted leaders in the wearable tech industry with its highly profitable Apple Watch Series. The feature-packed Watch Series 4, puts Apple miles ahead of the pack.
Only Fitbit and Samsung’s Gear watches are some other names in the sector that are still making good smartwatches. In my opinion, the last quality smartwatch running on Google’s WearOS was Moto 360, launched over 3 years ago. Google’s been out of the game for a while now, it’s time they re-enter the industry. Moreover, rumors of Pixel watch have been floating around on the internet for some time now. With this newly acquired tech and Google’s own advanced A.I and Machine Learning capabilities there’s a strong likelihood that Google might debut a Pixel watch in the near future.