Fitbit Stock Falls After Apple Watch Announcement
Poor Fitbit. Stocks fell 7% after Apple revealed its new health-focused Watch Series 4 Wednesday during the company’s annual event, with the upgraded watch being Apple’s most competitive push into public health.
The highlights in Apple’s Watch 4, which at $399, incorporate everything from using an electrocardiogram on yourself to a sensor that identifies when you fall and even calls 911. Fitbit, this year, has been down 2 % this year, with a Barron’s report in the wake of Apple’s event saying Fitbit still wants to brand itself as a health app for both consumers and health care industries alike.
“Last month, Fitbit announced its latest fitness tracker, the Charge 3, highlighting a number of heath-related features — as well as plans to keep developing more,” Barron’s wrote. “Sleep apnea and atrial fillibration (or, put more simply, irregular heartbeat) were among the conditions it said it would ‘continue to develop and clinically validate’ features for.”
The Apple Watch 4 declaration made it unmistakable that they are focused on health— and changing people’s habits. In an official statement, Apple COO Jeff Williams said the watch presently “becomes an intelligent guardian for your health,” the divulging of which a Fitbit representative caught up with the expected remark you frequently find in these situations like this. That there’s room in the smartwatch class “for companies to be successful” and Fitbit is centered around doing what it specializes in.
(It’s only that, obviously, Apple can deliver more resources to do this, as well.) Fitbit, the representative proceeded to tell Barron’s, conveys “competitively-priced, high value, cross-platform smartwatches and that allows us to reach to a much broader segment of the population — especially with 80% of smartphone owners around the world using Android.”
Are Fitbit speculators going overboard to Apple venturing up its new game? Possibly. However, it’s not only a wellbeing tracker company like Fitbit that must be worried.