Company lays off hardware team
A surprise today as Nike has confirmed to CNET that the company has had amassive layoff of its hardware team, the very team that develops the well known FuelBand fitness band. CNET says that the company has laid off over 50 people in a division that barely homed over 70, leaving it extremely unlikely that the company is planning on bringing any more FuelBand devices to the market.
The FuelBand was one of the first fitness wearables to hit the market, a space that has become largely dominated by the Fitbit Force and Flex. The FuelBand, which syncs to a user’s smartphone like the Fitbit devices, was fairly recently upgraded with the FuelBand+, a new update that brought little new to the playing field.
Nike has become increasingly competitive in the software fitness space, with versions of its Nike+ fitness tracking software having been integrated directly into earlier versions of iOS. The company upkeeps a version of the Nike’s software that relies on the iPhone’s GPS hardware to determine fitness performance. It would seem that the company will continue to focus on this space rather than the hardware space going forward.