Google buys Fitbit for $2.1 billion

Search engine giant stepping back into wearables with Fitbit’s 28 million active users

In this Aug. 16, 2018, file photo, the Fitbit Charge 3 fitness trackers are displayed in New York. (AP Photo/Richard Drew, File)

Google is buying Fitbit for about $2.1 billion, enabling the internet company to step back into the hotly contested market for smartwatches and health trackers.

Fitbit is a pioneer in wearable fitness technology, but it’s been shredded by that competition. Google, meanwhile, has been developing Wear OS software for other manufacturers to build wearable devices, but they haven’t gained much traction in the face of competition from Fitbit, Apple, Samsung and others.

The deal to buy Fitbit could give Google a needed boost.

“Google doesn’t want to be left out of the party,” said analyst Daniel Ives of Wedbush Securities. “If you look at what Apple has done with wearables, it’s a missing piece of the puzzle for Google.”

Matt Stoller of the Open Markets Institute, a research group that focuses on competition and consolidation, said health care is one of the few industries big enough to help a company as large as Google keep growing.

The deal, expected to close next year, will likely face scrutiny from federal and state antitrust investigators that have launched probes this year. “It’s obviously embarrassing to enforcers if they allow it without any sort of scrutiny,” Stoller said.

Fitbit makes a range of devices, from basic trackers that mostly count steps to smartwatches that can display messages and notifications from phones.

They can track a range of fitness activities, such as running, cycling and swimming, along with heart rates and nightly sleep patterns. Fitbit typically asks for date of birth, gender, height and weight to help with calorie and other calculations. Some users also use Fitbit devices and its app to track food and water intake. Women can also track their periods.

Google said it won’t sell ads using the sensitive health data that Fitbit devices collect, continuing promises made by Fitbit.

But that likely won’t stop Google from sucking up other personal data from Fitbit devices. Fitbit also has GPS models that could track users’ locations. That could help Google know that a runner stopped at a coffee shop on the way back, allowing Google to then display ads for rival coffee shops.

ALSO READ: Social media giants ignore law, don’t take Canada seriously, MPs say

More importantly, having a Google device on the wrist could drive its wearers to use Google services even more — giving Google more ways to collect data and sell ads.

Google’s announcement suggests that Fitbit will be absorbed into Google’s main business, rather than staying as an independent subsidiary of parent company Alphabet. That follows the trend of smart home device maker Nest, which was folded back into Google in 2018 after being a stand-alone company under Alphabet.

Fitbit has 28 million active users worldwide and has sold more than 100 million devices.

The Associated Press

Like us on Facebook and follow us on Twitter

Just Posted

Former Canucks player from White Rock suing financial advisors for negligence

Jason Garrison claimed his advisors failed to take his circumstances into account

Parents, students asked to weigh in on Surrey school-catchment options

Consultation sessions for South Surrey, Clayton get underway next week

White Rock to ‘embark on a new direction’ for city’s management

Dan Bottrill has been the city’s chief administrative officer since 2012

‘Slight’ arsenic increase noted in White Rock water: city

Challenges in plant commissioning cited, testing underway

Coastal FC Walking Soccer program takes first steps

South Surrey recreation program held weekly at BMO Coastal Soccer Centre

VIDEO: Disney Plus gives Canadians a streaming platform that nearly matches U.S. version

The Walt Disney Company’s new subscription platform unveiled a comprehensive offering of nearly 500 films

Sex assault charge stayed against Port Moody mayor

Rob Vagramov appeared in provincial court in Port Coquitlam

73% of B.C. residents agree with a temporary ban on vaping products: poll

54% say they would not date someone who vapes, Research Co. poll suggests

B.C.’s 13-cent gasoline gap still a mystery, Premier John Horgan says

NDP plans legislation this month, seeks action from Justin Trudeau

Group walking on thin ice at B.C. lake sparks warning from RCMP

At least seven people were spotted on Joffre Lakes, although the ice is not thick enough to be walked on

B.C. teacher said he would use student to ‘whack’ two others on Grade 8 field trip

Campbell River teacher-on-call suspended three weeks after November 2018 incident

Petition to ‘bring back Don Cherry’ goes viral after immigrant poppy rant

Cherry was fired from his co-hosting role for the Coach’s Corner segment on Nov. 11.

Bill Murray dons iconic Hudson’s Bay scarf to watch Canucks game in Vancouver

Murray is in Vancouver to film The Now, a mini-series directed by Peter Farrelly

Canadian allergists’ group wants Benadryl behind the counter due to side effects

Some doctors say the medication is over-used because of its easy availability

Most Read

l -->