After the acquisition, Pebble’s product line is likely to be phased out.
Pebble has had its hay days in the sun, now it is likely to be only a memory. Smartwatch maker Fitbit is reportedly acquiring the company for an undisclosed sum.
Engadget has reported citing an anonymous source that Fitbit will be acquiring the company for around $34 to $40 million. Incidentally, Pebble has accumulated debts of at least $25 million.
Earlier this March, Pebble laid off 25% of its workforce due to financial constraints. Its monetary position was reportedly “pretty tight.”
As per a source familiar with the matter at hand, Pebble has had better offers in the past: in 2015, Citizen had reportedly offered to acquire Pebble for $740 million. Even Intel had offered the company $70 million, if it agreed to hold off the launch of its Time 2 kickstarter campaign and the launch of Pebble 2.
The Information has reported that after the acquisition, Pebble’s devices will be gradually phased out. Fitbit is buying the company for its intellectual property rights and technologies.
Pebble’s latest offerings are more in the nature of a fitness tracker than a smartwatch.