Smartwatch pioneer Pebble announces its shutdown; sells key assets to FitBit

Smartwatch pioneer Pebble announces its shutdown; sells key assets to FitBit

Smartwatch pioneer Pebble announces its shutdown; sells key assets to FitBit

On Wednesday, smartwatch pioneer Pebble Technology Corp. revealed via a website post that it is shutting down; with the key assets of the company being sold to FitBit Inc., the manufacturer of health and fitness tracking wristbands.

In announcing its imminent shutdown, Pebble - the Redwood City startup which was the first company to manufacture smartwatches - said in its website post that its software and intellectual property is being acquired by FitBit.

Pebble also said that FitBit would also be hiring some of the "key personnel" - mostly software engineers - at Pebble which has a total workforce of more than 100 employees.

Though the financial terms of Pebble's acquisition by FitBit have not been officially disclosed, Bloomberg has revealed in a recent report that the FitBit has acquired Pebble for less than $40 million.

The shutdown announcement by Pebble means that the company will no longer sell and promote its smartwatch lineup. The approximately 2 million smartwatches which have been sold Pebble since 2013 could eventually stop working as part of the company's shutdown; though they will continue to function "as normal" for the time being.