What is Google attempting to do with the acquisition of Fitbit for $2.1b? Will it’s just like its earlier acquisitions like Motorola, Nest or HTC?

Google’s earlier acquisitions have been a failure to this point.

Let us take a look.

Google acquired Motorola for $12.5b in 2011 and later offered it to Lenovo for $2.91b in 2014. In the top, Google gained entry to about 25,000 cell patents and now licenses it to Lenovo.

In 2014, Google acquired Nest for $3.2b and to this point, it has been a failure and so they weren’t in a position to differentiate from the group.

In 2018, Google bought HTC’s smartphone division for $1.1b to strengthen its Pixel smartphones with HTC’s mental property however to this point, Pixel telephones are usually not in mass manufacturing and have lower than 1% market share.

With the acquisitions of Motorola, HTC and Nest and a sturdy {hardware} push, Google has not but been profitable at promoting client units.

Will Fitbit acquisition make a distinction?

By buying Fitbit, Google now has entry to smartwatch patents and information to tackle Apple within the wearables well being care section.

Apple is the king within the wearables class and it gained traction with the acceptance of well being care apps.

For Google to realize traction within the wearables class, it must have its smartwatch as none of the opposite prime smartwatch makers is utilizing Wear OS, besides Fossil. Google paid $40m to amass smartwatch tech from Fossil this yr.

When WearOS began, Huawei, Motorola, LG, Sony and Asus launched smartwatches however didn’t achieve traction.

According to IDC, smartwatch is the second-fastest-growing class after earwear within the wearables class till 2023 forecast interval.

Watches are forecast to develop from 91.eight million items in 2019 to 131.6 million in 2023 with a five-year annual fee of 9.4%.

Apple is anticipated to paved the way, capturing a 25.9% share of all watches in 2023. Beyond Apple shall be a selection of manufacturers working completely different working techniques, together with Android, WearOS, Huawei’s Lite OS, Tizen and others.

Fitbit matches in properly for Google in well being care house

Now, you understand why Google is so severe in regards to the rising well being care house and to enhance its health-related search outcomes. Fitbit matches in properly for Google.

From Fitbit’s level of view, it’s tough to maintain out there with a standalone product when the market is present process a cutthroat competitors. Even, the long run stays unclear for smaller manufacturers as they’re competing with manufacturers with an ecosystem of units.

There had been many acquisitions and mergers amongst smaller gamers within the wearables class corresponding to Fitbit shopping for Pebble, Fossil shopping for Misfit. Even Microsoft exited the wearables enterprise after its Microsoft Band and Microsoft Band 2. It is just not simple to remain afloat within the wearables class.

As big manufacturers are sitting on with a lot of health-related information from smartwatches, how the long run goes to be.

Google has mentioned that it’s going to by no means promote private information to anybody and Fitbit’s well being and wellness information won’t be used for Google adverts. Do you consider it?

Insurance corporations, in future, will certainly avail this information from smartwatch manufacturers to supply tailor-made options and costs relying on their way of life and health ranges.

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