U.S. group Alphabet Inc, the owner of Google, has made an offer to acquire wearable device maker Fitbit Inc, according to sources quoted by Reuters. Alphabet thus aims to get a slice of the market for fitness trackers and smartwatches, where it is not present yet. “There is no certainty that the negotiations between Google and Fitbit will lead to any deal,” Reuters added.

Fitbit reached a market capitalization of USD 1.4 billion as its shares rose by 27% after the news. The company, which had USD 1.51 billion in revenues in 2018, opened in Romania its biggest software development center outside the U.S., in September 2017. The center, located in Bucharest, currently has over 200 employees.

Fitbit opened the center in Romania after taking over smartwatch producer Vector Watch, a business launched by Romanian entrepreneurs, in early 2017. The U.S. group paid USD 15 million to buy the intellectual property rights and the team that created Vector Watch. After the deal, Romanian entrepreneur Andrei Pitis, the founder of Vector Watch, became a vice president and product manager at Fitbit.

editor@romania-insider.com

(Photo source: the company)