The Fossil Group announced plans to sell intellectual property related to a smartwatch technology currently under development by the Fossil Group to Google for $40 million. Under the agreement, part of the Fossil Group's R&D team, which currently supports the transfer of the intellectual property, will join Google. Fossil Group has an R&D team of more than 200 people working on innovation and product development. The agreement highlights Fossil Group and Google's shared investment in the wearable industry. In recent years, smartwatches have become the fastest growing category within the Fossil Group, which has successfully developed and launched smartwatches for 14 of its owned and licensed brands. "Fossil Group has achieved significant success in the wearables business by focusing on design and product development based on a strong understanding of consumers' needs and style preferences," says Greg McKelvey, Executive Vice President, Chief Strategy and Digital Officer, Fossil Group. "We have developed advanced technology that has the potential to enhance our existing smartwatch platform. Together with Google, our partner in innovation, we will continue to increase the growth of wearables." The transaction is expected to close within this month.
