Google to acquire Fitbit for US$2.1 billion

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Fitbit is going to be the newest brand to be taken under Google's wings. Google announced that it has "entered into a definitive agreement" to acquire Fitbit for US$2.1 billion (around CA$2.7 billion). The announcement comes days after reports are going around that Google was in talks to purchase the fitness tracker company. Fitbit will be joining Google itself, in the same way that Nest is under Google right now.

According to Rick Osterloh, Google's senior vice president for hardware, the reason they want Fitbit is to help them create wearables within the company. That they "see an opportunity to invest even more in Wear OS as well as introduce Made by Google wearable devices into the market."

For Fitbit users concerned with their information getting into the hands of Google, both companies try to assure them that they take their privacy seriously. Google says they will give customers "the choice to review, move, or delete their data." Meanwhile, Fitbit, in its post, says that "Fitbit health and wellness data will not be used for Google ads."

The transaction is expected to close in 2020, but this is still subject to conditions like Fitbit's stockholders and regulatory approvals.