The acquisition of Fossil's Smartwatch Technology by Google just cost the search giant a cool $40 million

The acquisition of Fossil's Smartwatch Technology by Google just cost the search giant a cool $40 million

It seems like the right time for Google to release its first smartwatch. A deal to purchase smartwatch technology from Fossil Group for a total of forty million dollars has just been finalized by the firm.

One of the key brands that is still developing smartwatches using Google’s Wear OS platform is Fossil. The business has already sold a few hundred connected smartwatches, hybrids, and fitness trackers to satisfied customers. In point of fact, the wearables category is the one that is expanding the quickest.

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As part of the deal, a portion of Fossil’s research and development staff—which numbers approximately 200 people—will join Google. To be more specific, the segment will be directly responsible for the intellectual property on its own.

According to Greg McKelvey, Executive Vice President and Chief Strategy and Digital Officer of Fossil Group, “Fossil Group has experienced significant success in its wearables business by focusing on product design and development based on our profound familiarity with the requirements and taste preferences of our target market.” Because Fossil Group spends a lot of work into creating high-quality products, its wearables sector has been very successful designing and making products based on what consumers want and need.

We have developed a technology that has the potential to make our current platform of smartwatches even better, and we have built and improved upon it. Unlocking growth in wearables will continue to be a priority for us, and Google, our innovation partner, will be a key collaborator in this effort.

Recent reports indicate that Google may indeed be working on its own smartwatch to compete with Apple’s Watch, which is known as the Pixel Watch. The arrival of the device was anticipated by many people during the previous year, but it never occurred. It is alleged that Google was responsible for the design and production of the entire clock. Earlier, Google made the decision to collaborate with LG on the development of its Watch Style and Watch Sport devices.

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According to the rumors, there are three distinct versions of the device. In addition to GPS, LTE, and VoLTE connectivity, they will have sensors for tracking your health, the brand-new Snapdragon Wear 3100 CPU, a streamlined design, and other features.

It’s interesting to note that Greg McKelvey predicted that the $40 million deal would lead to the introduction of “a new product innovation that has not yet hit the market.” It would appear that Fossil is working on some kind of new technology that is centered on health and Fitness, and Google believes that it might bring this technology to market in a way that is more comprehensive. In this manner, fossil watches would be the first to benefit from the unknown discovery before it spread “across the industry over time to benefit everybody.”

It is unknown at this time if the deal will assist the continued development of the rumored Pixel Watch or whether it will help the development of something else. The acquisition of the technology may also provide Google with the opportunity to increase the adoption of Wear OS and become a more serious competitor to Apple’s Watch. According to Fossil, the transaction is scheduled to be finalized in the month of January.

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