Technology giant Google will acquire Fitbit at the price of $2.1 billion in a bid to diversify beyond its primary business of online search to hardware.
The move was announced by the two companies on November 1 as Google's entry into the wearable technology space could bolster Fitbit's struggle against rivals that include Apple.
"Google is an ideal partner to advance our mission. Fitbit will be able to accelerate innovation in the wearables category, scale faster, and make health even more accessible to everyone. I could not be more excited for what lies ahead." Rick Osterloh, Google senior vice president for devices and services, said the deal for the wearable tech pioneer is one "bringing together the best hardware, software and AI, to build wearables to help even more people around the world," Fitbit co-founder and chief executive James Park said in a statement by the two firms announcing the deal.
"We have built a trusted brand that supports more than 28 million active users around the globe who rely on our products to live a healthier, more active life."
Althought Fitbit was among the first to popularise the fitness band, a survey by research firm IDC for the second quarter of 2019 found Fitbit in fourth place in a market led by China's Xiaomi leading the global market, followed by Apple -- which makes the leading smartwarch -- and Chinese-based Huawei.
Despite being has introduced its own smartwatch in 2017, Fitbit has failed to keep pace with the Apple Watch.
Google, which faces pressure from regulators around the world over its dominance of internet search, has been boosting its hardware offerings, including a line of Pixel smartphones and tablets, along with connected speakers.
(With inputs from agencies.)
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