Google to buy Fitbit in $2.1bn deal

Google promises to give Fitbit users the opportunity to delete their data, should the deal be approved by regulators

Google has struck a $2.1 billion deal to buy fitness tracking company Fitbit, following a week of mounting rumours.

The company finally came out into the open about the deal today with senior vice president of devices and services at Google, Rick Osterloh, describing it as "an opportunity to invest even more in Wear OS", Google's wearables operating system, "as well as introduce Made by Google wearable devices into the market".

Describing Fitbit as a "true pioneer", he added that as part of Google the company would work with Fitbit engineers to bring "together the best AI, software and hardware".

When you use our products, you're trusting Google with your information

And, alluding to Google's reputation as a company dealing in people's personal data, he wrote: "When you use our products, you're trusting Google with your information. We understand this is a big responsibility and we work hard to protect your information, put you in control and give you transparency about your data.

"Similar to our other products, with wearables, we will be transparent about the data we collect and why. We will never sell personal information to anyone. Fitbit health and wellness data will not be used for Google ads. And we will give Fitbit users the choice to review, move, or delete their data."

Indeed, Fitbit's fitness trackers will also provide Google with a wide range of personal details about their users, including gender, heart rate, sleeping patterns and so on.

This trove of data could contribute to what has been termed as ‘bio-profiling', although Google claims that it does not personalise advertising based on health conditions, while limiting tracking of 'sensitive' health information.

It's not yet clear whether the deal will be scrutinised by antitrust authorities in the US or elsewhere before it concludes, but Google is already facing a plethora of investigations in the US.

Similar to our other products, with wearables, we will be transparent about the data we collect and why

These include an antitrust investigation led by the US Department of Justice, as well as one by the House of Representatives' Judiciary Committee and a number of US state attorneys. They are all looking into claims that Google has used its market power to unfairly crush rivals.

Part of the rationale for the acquisition is the failure of Google's own wearables initiatives compared to the traction that Amazon, Apple, Huawei and Samsung have all been able to make in the wearables market.

This failure, though, hasn't dented the company's growth. Earlier this week, Google revealed its third quarter results, with revenues in the three months to the end of September weighing in at $40.5 billion, up 20 per cent compared to the same period a year earlier. The company now employs 114,096 staff, according to its third-quarter report.