Dusseldorf alphabet has agreed with Fitbit on a takeover. The Internet giant pays $ 7.35 per share – Fitbit is thus valued at a total of over two billion dollars. Fitbit went public with an issue price of $ 20 per share in 2015 – but has since fallen to $ 3.
With the fitness bracelet manufacturer, Alphabet wants to strengthen the market for so-called wearables, such as fitness bracelets or smartwatches. “We believe technology is best when it takes a back seat and helps in everyday life whenever you need it,” said alphabet manager Rick Osterloh in a statement.
With the acquisition leads Google his strategy of so-called ambient computing continues. While often several different functions are accommodated in one device, they should now be outsourced to networked special devices. In this way, the tech companies not only want to enable the permanent use of their services: Humans should also be able to be reached at any time with advertising.
For about 2.1 billion US dollars, the Google parent company now brings one of the Wearable pioneer in the house. Alphabet Vice Director of Devices and Services Osterloh said Fitbit was a “true pioneer” in the field and praised Fitbit's products, experiences and user community. According to a statement from Fitbit, the takeover in 2020 will be completed. Previously, the deal would have to be approved by both Fitbit shareholders and regulators.
Fitbit is not the first wearable acquisition of Google mother. In January, Alphabet bought Fossil's Smartwatch technology for $ 40 million. But Google's wearable operating system Wear OS has not been established since. “By working closely with the Fitbit team of experts and bringing together the best of artificial intelligence, software and hardware, we can drive innovation in wearables,” said Osterloh.
However, the market leader is clearly Apple with its watch Apple Watch and the health app Health, which collects like Google on various devices fitness data. For smart speakers is Amazon the pioneer. The US mail order company also brings out experimental devices: Amazon recently presented a smart ring and smart glasses. On a more favorable note, Chinese rivals such as Xiaomi and Huawei are tearing the water off the industry pioneer Fitbit.
Osterloh already suggested that Fitbit users might be worried about the security of their data: “We will never sell personal information to anyone. Fitbit health and wellness data will not be used for Google advertising. And we will allow Fitbit users to view, take away or delete their data. “
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