This acquisition will likely be similar to Google's Nest acquisition, where Fitbit remains its own brand, with Google enhancements. Its policy says the company collects personal information, such as date of birth, gender, height and weight, and device information, such as sleep schedule and Global Positioning System location.
In a ideal world, at least my flawless world, Google's resources and ecosystem combined with Fitbit's focus on health and fitness could form an actual competitor to the Apple Watch. Women can track their periods.
Fitbit said that its privacy and security guidelines won't change and that it will continue to be transparent about the data it collects and why.
Google in particular is the subject of competition investigations by both federal and state officials, which are focused in large part on its advertising business.
"I have always been concerned about the data monopolies that dominate our tech market, including Google", said shadow digital secretary Tom Watson in a statement.
Google attempted to defuse privacy concerns - Fitbit has access not only to customers' fitness history, but also in many cases their health insurance information and medical history - with a reassurance that "we work hard to protect your information" and "we will never sell personal information to anyone".
Google's frequent promises to give users control of their data has also consistently fallen short, with the company misleading consumers in order to retain access to valuable data. "We have built a trusted brand that supports more than 28 million active users around the globe who rely on our products to live a healthier, more active life", said James Park, co-founder and CEO of Fitbit. The company's share price has fallen nearly 70% since it went public around $20 a share in 2015.
Google is paying a premium of over 70 percent to the Fitbit share price before the shares were suspended earlier this week amid the speculations of takeover. The company's shares were trading up 15% at $7.11.
Fitbit's top executive said the company looked forward to driving innovation in the wearables sector. The Fitbit team has built a great health and fitness experience that is loved by people all over the world.
Last year, Fitbit acquired a cloud-based health coaching platform used to help manage conditions including diabetes and hypertension. Rick Osterloh, Google's hardware manager, has announced that the Google acquires Fitbit for $2.1 billion. Samsung came in fifth.
The report noted that Fitbit pioneered the market but has suffered from poor reception this year to the Versa Lite smartwatch, though that was offset by the popularity of its newly launched Inspire wristbands. Analysts have said that much of the company's value may now lie in its health data.