Alphabet is reportedly interested in buying Fitbit
Fitbit is apparently quite serious about exploring a sale. Reuterssources said Alphabet has "made an offer" to buy Fitbit for an as yet undetermined amount. The insiders warned there was no guarantee the talks would lead to a deal, but the indication of interest is still huge by itself. We've reached out to Alphabet and Fitbit for comment, although they declined to comment to Reuters. If Alphabet did snap up Fitbit, it could dramatically change the landscape for smartwatches. In spite of challenges, Fitbit is still one of the largest smartwatch makers on the planet -- this would quickly consolidate the market.
Google agreed Friday to buy Fitbit for .1 billion in a deal " Google is an ideal partner to advance our mission." Rick Osterloh, Google senior vice president for devices and services The Alphabet unit is largely absent from wearables gadgetry , following its failed Google Glass project, but produces the
Now that Google ' s acquisition of Fitbit is official, the question is what the search giant will do with it. When the news broke on Friday, Google ' s Rick Osterlo The worst thing Google could do with Fitbit is turn it into another Motorola.
Google's deal to buy Fitbit will help it compete with health tech companies. But the deal also helps Google build out its own hardware line.
Google has historically been a late bloomer when it comes to hardware. The company's own phone did not debut until 2016 and does not sell well compared to rivals.
Fitbit stock surges on report that Google-parent Alphabet may buy company
Fitbit stock has jumped nearly 28% following a Reuters report that Google is preparing to buy the company.According to the report from Reuters, Alphabet has "made an offer" to buy Fitbit, though the report did not disclose terms. After briefly being halted, shares of Fitbit resumed trading late Monday morning, with the company rising nearly 28% to $5.51 early Monday afternoon.
The deal to buy Fitbit could give Google a needed boost. “ Google doesn’t want to be left out of the party,” said analyst Daniel Ives of Wedbush Securities. Fitbit said that its privacy and security guidelines won’t change and that it will continue to be transparent about the data it collects and why.
Fitbit is being acquired by Google for about .1 billion, a deal that enables the internet company to step back into the hotly contested market for smartwatches and health and fitness trackers. Google has struggled to stake out a presence in the wearables market. It' s been developing Wear OS software.
But Fitbit has a well-known brand that will lend Google credibility as it creates its own wearable.
Google has been through a similar merger before, with smart home company Nest. Google recently rebranded its home products under the Nest name.
Google reportedly facing a DOJ probe over its $2.1 billion Fitbit purchase .
Both the Federal Trade Commission (FTC) and the Department of Justice (DOJ) apparently aren't thrilled with Google's Fitbit acquisition. According to a New York Post report, both agencies are concerned that the purchase would give Google access to even more personal data, and they both sought authority to investigate the deal. Since the DOJ is already looking into Google's practices as part of a larger anti-competition probe, though, it was reportedly put in charge of reviewing the merger. A Post source said: "The DOJ's handling of Fitbit will give an early read on the Google investigation.