Apparently the rumors are getting more concrete as it is now being reported that Fitbit has dished out somewhere in the neighborhood of $34 to $40 million dollars for the new kid on the block Pebble. Pebble of course had a hugely successful Kickstarter campaign a couple years ago and were valued at up to $700 million a year ago but things haven't been going so well for them and they started getting buried in debt and couldn't get their products into peoples hands. Phandroid has more on the rise and fall of Pebble.
We typically view acquisitions for small startups as great news, but for Pebble and their supposed buyout from Fitbit it might not be that happy of an ending. The original Kickstarter sensation is being bought out by Fitbit for anywhere between $34 to $40 million.
This valuation sounds pretty low for a company that seemingly had a hot hand in the wearables space. It’s especially wild to hear that figure when you consider that they could have sold themselves off for over $700 million a mere year ago (but reportedly refused, likely because they thought they were worth much more at the time). So, why the big drop off?