Fitbit has recently announced that the company has entered into a definitive agreement to be acquired by Google LLC for a fully diluted equity value of approximately $2.1 billion.

What does this mean, exactly?

Deep in the fitness industry for more than 12 years, Fitbit has agreed to sell the brand to Google to continue to advance their mission; To empower and inspire people to live a healthier, more active life.

There is no doubt that a wrist tracker like Fitbit can change the wearers behavior. Tracking any metric that provides a sense of instant accomplishment is a very powerful motivational tool. But here is the secret for any fitness tracker—the metric must be ACCURATE. Accelerometers and pedometers differ from heart rate monitors like Myzone in that they will encourage users to get off the bus one stop early and walk, but they don't drive exercise behavior because they don't track intensity, therefore they don't track exercise!

Google has attempted to penetrate this wearable technology market for years, without any great success. In 2019, Google spent big money, $40 million to be exact, for technology and personnel from watchmaker Fossil, just trying to break down the barriers of wearable tech. But the company’s products have never matched up to the competition, like the Apple Watch or Myzone’s MZ-3 heart rate monitor.

So, what edge will Fitbit give Google?

The most obvious lure is the health data of millions of Fitbit customers. Google, essentially an advertising company, continuously strives to further expand its profile of the everyday consumer. The company already takes educated guesses at a consumer’s health status. But with a company like Fitbit, who’s devices have been tracking wearer’s health metrics for over a decade now, Google would no longer need to make educated guesses, rather, they’ll have accurate data cataloging behaviors like steps taken, calories burned, and even exercises performed right at their fingertips.

As one of the leading wearable technology providers in the industry, Myzone understand the importance of respecting the personal data of its users and does not condone the sharing of personal data for any party’s gain. While Fitbit assures the company will not take the privacy of their users lightly and will not allow Google to use the metrics for advertising, data aside, it’s hard to see what else Fitbit has to offer that is more attractive to Google.

How will this impact the wearable technology industry?

Well, Google has yet to make its own smartwatch hardware, but not for lack of interest in the sector. Simply, the company has just been unable to mimic smartwatches as it did in the past with smartphones. Google says it is acquiring Fitbit to bring together “the best AI, software and hardware” in order to “spur innovation in wearables and build products to benefit even more people around the world.” Essentially, acquiring Fitbit provides Google with more ammunition to compete with Apple watch and could finally help Google take their longing first step into the healthcare market.

One thing is for sure, the business deal indicates Google is heading in a different direction. Instead of using its software and putting it in other brands’ hardware, such as their Wear OS strategy, it means that they now can share in the best of both worlds with something along the lines of a Wear OS powered Fitbit. Google having control over both the software and the hardware on whatever new wrist-based gadgets extend from this acquisition, it's likely that its Android-powered smartwatches are going to become that much smarter.

However, this brings us back to the fact that part of Google’s success has stemmed from their use of AI; gathering data to predict a consumer’s search inquiry when surfing the web, or picking up on a consumer’s routine then sending them reminders that, “OK, it’s 5:30 which means it is time to pick up your kids from school, and here’s how much time it’s going to take.” That kind of intelligence applied to a user’s fitness and health might serve as a catalyst within the industry. But at the end of the day, the ultimate question will be who sees the value enough to look past a company having that much knowledge on them, and who can’t?