The watch manufacturer Fossil will take over the wearable company Misfit. Fossil is worth $ 260 million for the networked technology that will be used in the Group's watches from next year.
Fossil announced yesterday that it will take over Misifit. The purchase price is $ 260 million and the acquisition is expected to close before the end of fiscal 2015. With the technology from wearable manufacturer Misifit, Fossil will be able to expand its target market in the future and offer networked timepieces in addition to conventional watches. The competitor Tag Heuer is pursuing similar plans and recently announced a smart health connected watch, but is counting on a cooperation with Google for the operating system, Intel for the hardware and another partner for the production.
However, it is not expected that after the takeover of Misifit fitness trackers will appear under the fossil label. According to the Wall Street Journal, the Misfit line with its wearable devices and networked light bulbs should continue in parallel. The first wearable from the startup Misifit appeared in 2013 after a successful Indiegogo campaign.
The takeover brings advantages not only for Fossil, but also for Misfit: for example, the massive manufacturing and sales opportunities that Fossil has and which will also benefit Misfit's wearables in the future. The watch manufacturer delivers 50 million timepieces and accessories every year. After Tag Heuer and Fossil, the question now is which traditional watch manufacturer will jump on the smartwatch train next.
sources
Wall Street Journal – Fossil Group to Buy Misfit for $ 260 million
The Verge – Fossil acquires wearable maker Misfit for $ 260 million
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