Google parent Alphabet is hoping to obtain traded on an open market wearables organization Fitbit, thus no information has specifically announced the confirmation of the deal however it was just a formal offer which google had made to the manufactures of the company, according to Reuters.
As Google is already working with high-level technology firms such as Samsung and Apple in smartphones, it still does not seem to build up any wearable contribution.
No news has yet been heard how much money Google will be paying for the deal as both the companies Alphabet and Fitbit refused to answer for the publication of the news.
However, it is observed that the stocks of Fitbit rose for approximately 27% which gives the company a market share of $1.4 billion and Alphabet gains a 2% share to $1,293.49.
All things considered, a procurement by Alphabet would increase the value of California based Fitbit, which has confronted extreme challenges in the past years from Apple, which offers work in wellness following highlights inside the Apple Watch. Fitbit could likewise confront the potential challenge from Google itself, in the wellness gadget space, as the organization has been supposed to chip away at a Pixel Watch.
Launched in 2007, Fitbit products were one of the best selling fitness bands. It has a wide range of products which helps the user to get accurate daily workout status. For instance, Smartwatches, Fitness trackers and many other products.
Fitbit was the most popular in the market before Apple got to launch its Apple Watch in 2015. Although it was still a considerable choice by many users because of its accuracy to measure different health statistics. This was considered their unique selling proposition for a long time.
Fitbit has launched a new smartwatch, Versa 2, in August this year, with Amazon’s voice assistant Alexa, online payments and music storage as major features.
Last month it was reported by Engadget that Fitbit has been in contact with an investment bank Qatalyst Partners regarding exploring a sale.
Featured image: Fitbit