Google has already joined the track of big technology giants like Apple and Samsung in the field of flagship smartphones, but it has still not revealed any wearable, unless you count the disastrous Google Glass, which to be honest, was never properly revealed. This fact could have been bugging Google for a while as it is now planning to acquire popular wearable device maker and publicly traded company Fitbit.
According to a report from Reuters, the deal is still being negotiated and could go either way. But if this actually happens, it would be a great breakthrough for Google in the wearable segment, considering its hardships with smartwatches and Wear OS.
Through its Wear OS, Google largely targeted the smartwatch market, and though many of these devices had built in fitness tracking systems, they feared a threat from a large market of dedicated and cheaper fitness trackers, specially those coming in from Chinese companies like Huawei, Xiaomi and others.
At the same time, Fitbit has been accelerating its smartwatch line with ‘Versa’ which did not operate on Wear OS.
Fitbit’s acquisition will also make sense, considering Google’s pivoted interest in the hardware technology with its own smartphone line. Google acquired a large chunk of HTC’s design division in the start of 2018. Rumors around the tech arena also say that Google is working on Pixel smartwatches for quite some time. However, any announcement in this regard is yet to come from the company.
Earlier this January, Fossil also revealed that they are selling ts intellectual property related to smartwatch technology under making to Google for $40 million, but nothing was heard further on this.
Since the rumors started making the rounds, stock price of Fitbit lifted by almost 30%. The company’s stock rate fidgeted below $3 in the recent months, against the $48, which the company received soon after going public in 2015. With today’s announcement, they rose to $5.20.