Fossil Buys Wearable Startup, YouTube Music, iPad Pro | CrunchWeek

TL;DR

Fossil acquires Misfit, a wearable company known for fitness trackers, for $260 million.

Transcript

fossilize wearable startup misfit for 260 million dollars YouTube launches its new music app and the iPad pro is now available for pre-order everyone thank you for being here this is a sad surreal happy and amazing episode because this is the very last crunch week after many years of the show we are shuttering it we have we've gone to different pas... Read More

Key Insights

• ❓ Fossil acquires Misfit for $260 million, expanding its presence in the wearable market.
• 🤨 Misfit had previously raised significant funding, making the acquisition a satisfactory exit for investors.
• 👾 The wearable space is attracting interest from traditional watch companies like Fossil and Tag Heuer.
• 🎼 The music industry is experiencing significant changes, with Apple bringing its music app to Android, YouTube launching a music app, and the closure of Beats, among other developments.
• 🐕‍🦺 Google's move into subscription-based music services through YouTube Red is an interesting shift for the advertising-focused company.
• 👤 Music streaming platforms like Spotify and SoundCloud remain popular choices among users.
• 😃 The pace of change in the music industry is expected to continue with the entry of big players like Apple and Google.

Questions & Answers

Q: What is Misfit known for?

Misfit is known for its fitness trackers that can be worn on the wrist or shoe, with prices ranging from $29 to $99.

Q: How much funding did Misfit raise before the acquisition?

Misfit had raised over $60 million in funding, with the latest round raising $40 million.

Q: Is Fossil's acquisition of Misfit considered a successful exit for investors?

The acquisition is considered to be a middle-ground exit for investors, with the price of $260 million taking into account liquidation preferences and other factors.

Q: What other companies are venturing into the wearable space?

Companies like Tag Heuer are also entering the wearable space, with Tag Heuer launching a $1,500 SmartWatch.

Summary & Key Takeaways

• Fossil acquires Misfit, a wearable company, for $260 million. Misfit offers fitness trackers that can be worn on the wrist or shoe.

• Misfit had previously raised over $60 million in funding and its last round raised $40 million.

• Fossil's acquisition of Misfit is seen as a middle-of-the-road exit for the investors.