Google purchases Fitbit as it has finally completed the acquisition of the popular smart wearable company. It was reported that the search engine giant has successfully completed Fitbit acquisition for $2.1 billion dollars just a year after the deal was announced.
Google’s Rick Osterloh wrote in a blog how he is very excited with Google completing the acquisition of Fitbit and how he wishes to personally welcome the talented Fitbit team to Google. Google will look to utilize the talents of the Fitbit developers to develop its own line of wearables, similar to Google’s acquisition of Nest. The acquisition of Nest led to the company refining its ecosystem of smart home products and made Google one of the front runners in that market.
Rich Osterloh blogs about the Fitbit acquisition and what the future holds
Rich Osterloh, Google’s hardware chief said that Fitbit’s acquisition was “about devices and not about data”. He emphasized this point as he reiterated Google’s commitments on the way Google will handle the acquisitions of markets around the world. Moreover, he pledged that the company will not be using Fitbit users’ wellness data and any personal information for Google’s ad tracking.
In an official statement, the CEO of Fitbit James Park welcomed this news, saying this acquisition will let the company innovate faster while providing more choices and releasing even better products. Though he did emphasize that the upcoming Fitbit products will continue to work across both Android and iOS platforms.
Park also added that the company would maintain strong security and data privacy protections. It will allow you the freedom to control your data while the company stays transparent about the data they collect and why they do it.
Google purchases Fitbit and reaffirms any qualms on fitness data usage
As Google completes Fitbit acquisition, it promises to keep the commitments it made to the users as it won’t be using the health and fitness data for the purpose of targeting ads. These commitments were brought up in the press release and will be adhered to. Additionally, Google also reminded that Fitbit will continue to come with the option of keeping fitness data on the Fitbit account whether the users wish to share it with third parties or not. Osterloh even said that this acquisition will not affect how third-party fitness trackers will work with Android or how Fitbit products will work with non-Google services.
Google still intends on keeping the Android APIs open for developers who want to keep making fitness trackers work with Android. Google believes this will keep competition alive in the smart wearable space.
Is it really a done deal or is Google jumping the gun with the announcement?
Despite Google’s official announcement about Google’s Fitbit acquisition, the US Department of Justice claims that the acquisition process is still ongoing as they are conducting Antitrust Division investigations. The Division still continues to investigate if the acquisition of Fitbit will potentially harm consumers and competition in the USA.
The final decision is DOJ’s to take. Should there be any issues of concern, both Google and Fitbit are willing to comply. However, it looks like the deal isn’t what Google and Fitbit statements make it seem.