Fitbit, like GoPro, is exploring a sale. It’s a tough business when Apple entered the scene and now makes the most successful and popular smartwatch and you’re not in niche markets like Garmin.
Fitbit’s revenue fell sharply in 2017 from $2.2 billion to $ 1.6 billion, and then remained flatish at $1.5 billion on a TTM basis.
Apple Watch 3 was released in 2017.
Fitbit are competing with $AAPL which has very low cost of capital—it can borrow money at very low rates, use massive cash reserves from iPhone sales, and pour that cash into Watch R&D.
This news as a Fitbit user I’m glad to hear, especially if it means Fitbit Pay (potentially integrates with GooglePay) becomes more widespread. Only reason holding me back from upgrading to Versa is lack of Fitbit Pay support
Google’s offer of $7.35 a share for Fitbit compares with its $20 initial public offering price in June 2015. After closing at a high of $47.49 soon after the IPO, Fitbit’s shares have languished during the past two years as it has attempted to refocus its business away from low-cost fitness trackers towards smartwatches amid intensifying competition from Apple’s Watch.
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“This is a pure data play,” said Nilesh Chandra, a partner focused on healthcare strategy at PA Consulting, noting tech companies’ broader push into the health industry.
@Ultron Staff might use Fitbit is what I’m thinking. Not having a jab at the team at all, but some of them use the Freetrade app so that could be the reasoning