The Pebble Core.
The wearables market is expected to consolidate further as Fibit is reportedly purchasing Pebble.
A source told TechCrunch that Fitbit is forking out between US$34 million and US$40 million to acquire Pebble. The Information said that the Pebble brand and its products will be phased out overtime with Fitbit scooping up its intellectual property and software assets.
Both companies have yet to respond to these reports, but the announcement could be imminent. Several companies were said to be interested in acquiring Pebble in the past. Citizen offered to purchase Pebble for US$740 million last year, but the deal did not materialize. Intel also made an offer for US$70 million, but it was rejected.
More than half a year, Fitbit acquired payments hardware firm Coin which will help it develop an active NFC payment solution. Though Fitbit is still the market leader in wearables, the Apple Watches and Android Wear devices are giving the company a run for its money. Acquiring Pebble and its asssets may be a logical step for Fitbit to stay ahead of the competition.
Source: TechCrunch, The Information
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