According to a number of sources, Fitbit is on the verge of acquiring smartwatch maker Pebble. The deal comes as both companies are facing declining fortunes in the wearable industry. Notably, this acquisition will reportedly see the Pebble brand phased out.
Both companies have faced declining fortunes in the past few years, with Pebble apparently looking to sell itself due to financial challenges even after a succesful Kickstarter in June. Earlier this year, the company laid off a quarter of its workforce.
Meanwhile, Fitbit is also having a rough time after announcing mixed Q3 earnings and posting weaker guidance for the usually lucrative holiday fourth quarter.
This is interesting if the rumor is true that Fitbit will buy Pebble. Fitbit has been going through some hard time with the competition of Apple and Android. Pebble is also going through some hard times even though they had a great kickstarter. But it makes sense for Fitbit to buy Pebble. Fitbit needs to open it’s product and not only make fitness trackers. Heck I don’t even wear my Fitbit Blaze anymore it’s gathering dust. I have been wearing my Apple Watch everyday because it can do more than just gather and show me health data.