Google has announced its plan on Friday to acquire Fitbit, a leading fitness wearable device maker for $2.1 billion. The deal is expected to be finalized in 2020.
The news surfaced after Google SVP of Devices and Services Rick Osterloh confirmed the news in a blogpost.
Google has been working on different projects to break into the wearables industry with its Wear OS platform. However, it has struggled to make a significant impact. The company has also made some hardware including Pixel phones and Nest devices but that has not covered much ground into smartwatches and other wearable devices.
Fitbit’s hardware chops give Google a good platform to build on for Android-integrated wearables devices in future. In addition to this, Google’s aim on fitness tracking could be integrated into its existing Google Fit applications as well.
The search engine juggernaut’s software expertise and extensive developer support would enhance the user-experience of Fitbit’s smartwatches like Versa alongside the software integration with Android platform that an acquisition deal would offer.
On the other hand, Fitbit has said it never sells personal information and reiterated that its health and wellness data will not be used for Google ads.
Earlier this year, the health wearable device maker reduced its price on a few of its devices. It released a new subscription called Fitbit Premium that provided in-depth insights about one’s sleep, fitness and overall health.
Moreover, recently in July, Fitbit reduced its outlook for a full year, following lackluster sales of its Versa Lite Smartwatch.