6.84 -0.02 (-0.29%)
After hours: 7:58PM EST
|Bid||6.83 x 36200|
|Ask||6.84 x 43500|
|Day's range||6.84 - 6.93|
|52-week range||2.81 - 7.26|
|Beta (3Y monthly)||1.72|
|PE ratio (TTM)||N/A|
|Earnings date||6 Nov 2019|
|Forward dividend & yield||N/A (N/A)|
|1y target est||7.35|
(Bloomberg) -- U.S. antitrust enforcers should stop Google’s proposed acquisition of Fitbit Inc. because the deal will further consolidate the search giant’s control over consumer data, a coalition of privacy and consumer advocates said.The $2.1 billion takeover would allow Google to entrench its monopoly power in the digital marketplace, the groups said Wednesday in a letter to the Federal Trade Commission.“Through its vast portfolio of internet services, Google knows more about us than any other company, and it should not be allowed to add yet another way to track our every move,” they said.Alphabet Inc.’s Google is a leader in digital data, and Fitbit would give it a new stream of valuable health and activity data from Fitbit’s more than 28 million users. The purchase will mean Apple Inc. and Google control more than half of the global smartwatch market. Apple had 46% of this growing sector at the end of the second quarter, while Fitbit had 10%, according to research firm Strategy Analytics.A Google spokesman didn’t immediately respond to an email seeking comment about the letter to the FTC, which was signed by Open Markets Institute, the Center for Digital Democracy, Consumer Federation of America, and the Electronic Privacy Information Center, among others.A spokeswoman for the FTC didn’t immediately respond to a phone call and an email seeking comment.The deal is likely to face a stringent antitrust review. Google and other big internet companies are already under scrutiny at both the FTC and the Justice Department. A group of state attorneys general is also investigating whether Google’s business practices harm competition. Both Republicans and Democrats also have been strongly critical of practices by big technology and internet companies.Google is separately under scrutiny by the U.S. Department of Health and Human Services over its access to personal health data as part of a project to build a new internal search tool for the Ascension hospital network.\--With assistance from Ben Brody.To contact the reporter on this story: David McLaughlin in Washington at email@example.comTo contact the editors responsible for this story: Sara Forden at firstname.lastname@example.org, Molly SchuetzFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Alphabet’s decision to pay $2.1bn for Fitbit looks even more peculiar in the wake of the fitness tracker company’s third-quarter results. Fitbit might have once led the pack on health tech but that was a long time ago. At least the stakes in this deal are relatively low for Alphabet.
Fitbit (FIT) delivered earnings and revenue surprises of 0.00% and 0.25%, respectively, for the quarter ended September 2019. Do the numbers hold clues to what lies ahead for the stock?
(Bloomberg) -- Fitbit Inc. reported revenue that beat analysts’ estimates in its first quarterly results since Google announced its planned acquisition of the wearable technology company.Third-quarter sales were $347 million, the San Francisco-based company said Wednesday in a statement. That was a decline of 12% from the period a year earlier, but ahead of analysts’ projections of $345.1 million. The shares slipped less than 1% in extended trading after closing at $7.03 earlier on Wednesday.Earlier this month, Fitbit agreed to be acquired by Alphabet Inc.’s Google in a deal that could help shore up the internet giant’s consumer-hardware business while also increasing antitrust scrutiny. The companies expect the $2.1 billion transaction to close sometime in 2020.“We continued to make good progress shifting our business toward the faster growing smartwatch category with the introduction of Versa 2, expanding Fitbit Health Solutions, and deepening our relationship with consumers,” James Park, chief executive officer of Fitbit, said in the statement.“The continued success of the Fitbit brand is built on the trust of our users, and our commitment to strong user privacy and security will not change,” he added. “I’m excited about the combination of Fitbit and Google and look forward to closing the transaction.”To contact the reporter on this story: Kiley Roache in New York at email@example.comTo contact the editors responsible for this story: Jillian Ward at firstname.lastname@example.org, Alistair Barr, Andrew PollackFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
The UK’s Labour Party wants to stop Google’s acquisition of Fitbit. The UK previously delayed PayPal’s closing of the iZettle acquisition.
Alphabet (GOOGL), owner of Google, announced last week that it would be acquiring wearable fitness company Fitbit (FIT), for roughly $2.1 billion.
Google’s acquisition of Fitbit on Friday was a significant development in the world of wearables, upon which Apple depends heavily.
Fitbit's (FIT) focus on innovation, including new smartwatches, is likely to have benefited Q3 earnings. However, intensifying competition in the wearables market may have remained a major concern.
(Bloomberg) -- Terms of Trade is a daily newsletter that untangles a world embroiled in trade wars. Sign up here. Fitbit Inc., soon to be acquired by Google, says it’s shifting manufacturing operations out of China for its health trackers and smartwatches to avoid U.S. tariffs. But until then, it wants relief from President Donald Trump’s duties.The smartwatch maker has filed a request for an exclusion on the 15% duty that took effect Sept. 1 on its wrist-wearable communications devices, saying that while its goal is to eliminate the use of Chinese manufacturers, it “respectfully requests” a tariff waiver for its smartwatches and fitness trackers now imported from China.The duties will allow Chinese firms such as Huawei Technologies Co. to gain U.S. market share while helping China’s data-collection and surveillance aims, the firm said.“Tariffs that place U.S. brands like Fitbit at a disadvantage relative to Chinese competitors in the U.S. market will only further these objectives,” the company said in its exclusion request, which was posted online Oct. 31. The Office of the U.S. Trade Representative will make the determination.The request for a tariff waiver was posted a day before before Fitbit announced that Alphabet Inc.’s Google had agreed to buy the wearable device maker for $2.1 billion in cash, a move that could shore up the internet giant’s hardware business while also potentially increasing antitrust scrutiny.Exclusion CriteriaThe company referred requests for comment to its exclusion request and a previous release.Exclusion decisions are based on whether a product is available only from China, is strategically important or related to Chinese industrial programs, and whether duties will “cause severe economic harm” to the company or U.S. interests.Fitbit said the vast majority of global production capacity for wrist-wearable communications devices is in China, and that while it’s aware of facilities in Taiwan and South Korea producing such devices, they’re fully owned by or contracted to competitors.Fitbit said last month it’s moving manufacturing operations out of China and that starting in January, the firm expects its smartwatches and health trackers won’t be of Chinese origin and therefore not subject to import duties.Supply ChainsIn its exclusion request, Fitbit said it understands the Trump administration’s concerns about trade with China and “has taken significant steps to overhaul its supply chain and minimize its reliance on Chinese component suppliers and contract manufacturers.” It said those efforts are continuing.“Fitbit has taken these steps in response to the Administration’s concerns, despite the costs and challenges of uprooting an established global supply chain that has been developed meticulously over more than a decade,” the company said.The U.S. is accepting requests through Jan. 31 for exclusions from the latest round of tariffs on about $110 billion in Chinese imports, as the Trump administration seeks to negotiate a trade deal with China. Duties are also in effect on $250 billion in other Chinese goods, and a separate batch of about $160 billion in products is set to be hit with tariffs on Dec. 15 if a deal isn’t struck.Trump is looking to sign a “phase one” agreement with Chinese President Xi Jinping this month, and the president said Sunday he expects the initial deal will be signed somewhere in the U.S.Among the first companies to file exclusion requests for the latest round of duties besides Fitbit are Apple Inc., which is seeking relief from duties on the Apple Watch, iMac, parts for the iPhone and other components, Christie’s for certain imported art and antiques, and Square Inc.(Updates with company response in sixth paragraph.)To contact the reporter on this story: Mark Niquette in Columbus at email@example.comTo contact the editors responsible for this story: Sara Forden at firstname.lastname@example.org, Ros Krasny, Steve GeimannFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- Google’s $2.1 billion acquisition of Fitbit Inc. means two of the largest technology companies now dominate the U.S. market for fitness tracking devices and data, and the purchase is already coming under fire from U.S. lawmakers.Google and Fitbit expect the deal to face protracted regulatory review in light of the current political focus on competition and privacy issues in the tech industry, a person familiar with the transaction said.And two of the company’s major critics in Congress urged regulators to conduct just such a thorough review.“Why should Google be permitted to acquire even more companies while they’re under DOJ antitrust investigation?” Josh Hawley, a Republican U.S. senator from Missouri, said on Twitter referring to the Justice Department. Representative David Cicilline, who heads the House antitrust investigation into the big tech companies, also criticized the deal.“Google is signaling that it will continue to flex and expand its power in spite of this immense scrutiny,” said Cicilline, a Democrat from Rhode Island. “Google’s proposed acquisition of Fitbit would also give the company deep insights into Americans’ most sensitive information -- such as their health and location data -- threatening to further entrench its market power online.”The acquisition is expected to close sometime in 2020, Fitbit said. Both companies have given themselves a year to gain antitrust clearances, although that can be extended through May 3, 2021 -- and Google would owe Fitbit $250 million if the deal fails due to antitrust issues, according to Jennifer Rie, a senior litigation analyst at Bloomberg Intelligence.That’s a broader time frame than other Google deals. Two acquisitions that were reviewed by regulators -- the DoubleClick deal in 2007 and the ITA Software purchase in 2010 -- took eight and nine months, respectively, to clear, according to Bloomberg Intelligence data.In the current political climate, regulators will take a very close look, said Joel Mitnick, a partner in the antitrust division of Cadwalader, Wickersham & Taft LLP and a former Federal Trade Commission lawyer.“Any proposed transaction is likely to get attention from the antitrust enforcement agencies with a high likelihood of a second request even though the proposed transactions may have no antitrust implications,” Mitnick said.Still, Google and Fitbit are pressing ahead. Google has never built its own smartwatches and its software for other companies’ wearable devices isn’t very popular, a point the company will likely make to justify why the deal won’t harm competition.Alphabet Inc.’s Google is a leader in digital data though, and Fitbit would give it a new stream of valuable health and activity data from Fitbit’s more than 28 million users. The purchase will mean Apple Inc. and Google control more than half of the global smartwatch market. Apple had 46% of this growing sector at the end of the second quarter, while Fitbit had 10%, according to research firm Strategy Analytics.In the U.S., Apple and Google will be even more powerful because Fitbit has a larger share of the domestic market for smartwatches and fitness trackers. In the second quarter, Fitbit got almost six times more market share in North America than in the Asia Pacific region, according Strategy Analytics. And several other smartwatch makers use a Google operating system to run their devices, giving the internet giant an even bigger net to scoop up people’s digital health and fitness data.“The merger arguably could reduce quality to consumers due to weakened data privacy protections,” Rie, the Bloomberg Intelligence analyst, wrote on Friday. “This is a developing theory of harm in M&A antitrust review and enforcers will likely assess the risk.”Margrethe Vestager, the European Union’s antitrust chief, recently called for more rules to rein in how companies collect and use information. In August, she called tech giants “robot vacuum cleaners” sucking up valuable data in a way that can undermine competition. “Platforms like Google and Facebook, they collect data from consumers, not just the posts we like on Facebook or the searches we make on Google, but much more unexpected things,” she said.The Fitbit deal is Google’s second major acquisition this year. It agreed to buy cloud services company Looker in June for $2.6 billion. The antitrust division of the Justice Department is seeking more information on the deal to determine whether the tie-up harms competition. Google argues the tie-up isn’t anti-competitive because Google is well behind Amazon.com Inc. and Microsoft Corp. in the cloud-computing market.Doubling down on acquisitions while being investigated for anti-competitive practices will provoke a political backlash, said Matt Stoller, a fellow at the Open Markets Institute, which studies and recommends competition policies.Google is putting regulators “in an impossible position,” he added. “They want it all and they don’t see any reason not to get it all.”Rick Osterloh, senior vice president of devices and services at Google, said Fitbit health and wellness data will not be used for Google ads, and that the company will “never sell personal information to anyone.”This isn’t the first time Google has promised to keep data from a purchased company separate from its own. The company made similar commitments when it bought advertising-technology company DoubleClick. Years later, the two companies’ databases were combined. When it bought smart thermostat maker Nest in 2014, Nest co-founder Matt Rogers said “Nest data will stay with Nest.” Less than a year later, that changed and Google connected some of its apps to Nest’s system. The blog post has been taken down and Rogers is no longer at Google.That track record will raise skepticism among politicians and consumers, Stoller said.Regulators could require Google to make a legal commitment not to use Fitbit data for advertisements or other purposes through a consent decree that could carry penalties if Google breaks it, Mitnick said.“There’s lots of things that can be agreed to in a consent decree,” he said. “If Google wants the deal badly enough and can live with certain restrictions then that can happen.”(Updates with comments from lawmakers beginning in the fourth paragraph.)\--With assistance from David McLaughlin.To contact the reporters on this story: Gerrit De Vynck in New York at email@example.com;Liana Baker in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: Jillian Ward at email@example.com, Alistair Barr, Andrew PollackFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Apple (AAPL) stock jumped to yet another new high Friday and the iPhone giant is coming off an impressive fourth quarter of fiscal 2019. So is it time to buy Apple as it rolls out its streaming TV service and expands its non-iPhone business?
Fitbit (FIT) shares have gained 15% today. Google (GOOG) (GOOGL) announced that it will acquire Fitbit for $2.1 billion, according to a press release.
NEW YORK, Nov. 01, 2019 -- Halper Sadeh LLP, a global investor rights law firm, is investigating whether the sale of Fitbit, Inc. (NYSE: FIT) to Google LLC (“Google”) for $7.35.
September gained 44K on its revision to 180K, and August went up 51K to 219K -- the first time since April we were over 200K on new monthly jobs totals.
NEW YORK, Nov. 01, 2019 -- The following statement is being issued by Levi & Korsinsky, LLP: To: All Persons or Entities who purchased Fitbit, Inc. (“Fitbit” or the.
(Bloomberg Opinion) -- I hope Alphabet Inc. has a plan.The Google parent company announced on Friday that it would spend $2.1 billion to buy Fitbit Inc., a pioneer in the fitness-tracking gadgets that haven’t proved to be a lasting category of consumer electronics. Google has now spent billions of dollars developing homegrown hardware such as its Pixel smartphones and buying all or parts of companies that specialize in hardware.This growing collection of computer hardware betrays Google’s apparent belief that it’s not well-positioned to navigate the coming world of technology. It’s a surprising show of defensiveness from a company that has charted the course of computing for the last 25 years.Most of the world’s big technology companies, including Google, Amazon.com Inc., Facebook Inc. and Tencent Holdings Inc., are betting that people’s interactions with computers will become more diverse. This makes sense. For decades, people’s primary interactions with computers have been through glowing rectangles — mostly personal computers or smartphones.Technologists now believe that essentially everything will become a computer. The lines will blur between real life and the digital one. When we interact with cars, televisions, home appliances and other people, there will increasingly be a layer of technology between those interactions, even if the technology is not as obvious as a glass screen.Google, in theory, should be able to take advantage of this shift. The company is great at software and making sense of computerized information, and those are the skills that will make companies winners if and when technology pulls away from the glowing rectangles.The path to that world, at least for now, seems to require more but different types of glowing rectangles. Amazon has introduced a zillion types of gadgets — everything from speakers and headphones to a microwave oven — to inch toward the future of barrier-free computing.Google has followed this model, too, and it seems to believe it can’t get there alone. Before the Fitbit deal, Alphabet had already bought connected-home startups Nest and Dropcom, spent $1.1 billion to acquire engineering and design teams from smartphone maker HTC and this year purchased smartwatch intellectual property from Fossil. What does a watchmaker know about technology that Google doesn’t? Google didn’t really say. Maybe the fruits of that deal will surface in future Google products. Google keeps refining how it talks about its hardware efforts. At an event last month to introduce updated consumer electronics, executives trotted out the phrase “ambient computing” an umpteen number of times. This is a techie shorthand for the future of computing beyond the glowing rectangle, with computing woven into every fiber of our lives.It’s not entirely clear how Fitbit fuels Google’s mission. Fitbit’s device sales — mostly watches or other wrist-worn devices that count steps, measure heart rate or do some tasks of smartphones — have stalled. Everyone talks about technology giving people more control of their health and spotting problems like high blood pressure or diabetes early enough to make a difference in people’s lives. Apple’s pitch for the Apple Watch is basically, “If you don’t have one, you will die.” (I’m exaggerating, but not by much.)For now, this is a pipe dream. The current crop of health or fitness-focused gadgets aren’t quite a revolution. Devices like Fitbits and the Apple Watch are nice-to-have novelties or relatively niche tools for healthy or fitness-obsessed people. People like me have focused on Google’s relatively small market share in growing consumer electronics devices beyond smartphones — devices like voice-activated speakers and wireless headphones that double as computer navigation. That’s not Google’s real problem, though. These market share figures are proxies for a company’s status in charting the path to the world of computers beyond the glowing rectangles.Google typically tries a host of technology and business strategies to the point of incoherence. This is just what Google does. And it can afford to test and try and buy lots of things as it plots a future where devices of any type are not necessarily people’s primary gateways to the digital realm. The uncharacteristic oddity is that everything Google is trying in hardware shows how far it is from figuring out the future of computing. To contact the author of this story: Shira Ovide at firstname.lastname@example.orgTo contact the editor responsible for this story: Daniel Niemi at email@example.comThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Shira Ovide is a Bloomberg Opinion columnist covering technology. She previously was a reporter for the Wall Street Journal.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
Some major money is about to shake up the race in the wearable fitness market. Google confirmed Friday that is buying Fitbit, the company that created the fitness tracker industry, for $2.1 billion. With Fitbit's hardware, tech and 28 million active users under its umbrella, Google plans to introduce a wearables line into its "Made by Google" brand to take on the Apple Watch and fitness devices made by others like Samsung. Google is attempting a rescue of sorts. Fitbit has lost its dominance as deeper-pocketed Apple and Samsung outspent it on the high end, and cheaper Chinese-made devices from Xiaomi took over on the low end. That's likely to change with Google's backing. In order to soothe privacy concerns, Fitbit announced users' health and wellness data will not be used for Google ads and Google said Fitbit users will have the choice to review, move or delete their data. Shares of Fitbit have soared 40 percent since Monday when Reuters reported a deal was in the works.