Jawbone reportedly goes into liquidation, spin-off startup founded with revised focus
While certain analysts and market research firms continue to believe in the growth potential of wearable technology, which was once deemed the industry’s “next big thing”, it’s probably time to face the painful facts.
A number of pioneers in the segment, from Pebble to Jawbone and even Fitbit, have run into varying degrees of financial trouble over the past few years, as the initial hype surrounding smartwatches and activity trackers rapidly died down.
Back to companies like Jawbone however, their main obstacle to sustainable popularity and prosperity was by no means the Apple Watch. Lack of innovation, poor customer support and several questionable product focus decisions all contributed to the inevitable death of an American outfit founded in 1999 and valued at $1.5 billion just half a decade ago.
After inexplicably giving up on crowd-pleasing Bluetooth headsets and speakers, Jawbone was unable to nurture its UP family of fitness bands, last refreshed in 2015, insisting nonetheless there were more of those coming.
Instead, layoffs, delayed payments to partners, manufacturing standstills and ultimately liquidation proceedings followed. This final step before termination is now underway, according to many trusted sources around the interwebs, but it still may not be the last time we hear the Jawbone name.
Co-founder and CEO Hosain Rahman has already established a startup called Jawbone Health Hub, which will likely confirm speculation from earlier this year in some form or other. The new company is apparently recruiting people for various roles “at the forefront of revolutionizing primary care for millions of patients worldwide”, aiming to “connect patients and physicians like never before with continuous, data-driven dialogue.”
In other words, the dead and reborn Jawbone should sell professional health-centric products directly to medical businesses… sooner or later. It’s true what they say – every end is a new beginning.