Adidas stops making wearable devices to focus on software

CIOL Writers
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Adidas stops making wearable devices to focus on softwares

Adidas is pivoting away from the wearable devices industry for a while now to focus on software, especially Adidas apps and those made by Runtastic, the Portland Business Journal reported first. Adidas said, "To further drive our digital transformation and win the consumer in this dynamic business environment, we’ve redefined our strategic approach toward digital, sharpening our focus on digital experiences."


The company told TechCrunch, "We will discontinue running a stand-alone digital sports organization and consolidate the Adidas app eco-system, focusing our efforts on two powerful brand platforms: Runtastic and the Adidas app. We are integrating digital across all areas of our business and will continue to grow our digital expertise in a more integrated way.” Stacey Burr, the vice president of wearable sports electronics at Adidas commented that "we're not going to see a new running watch from Adidas for a while.”

The decision to shut down the wearable devices unit will affect 74 staff positions within the company. A spokesperson for Adidas told Women Wear Daily, “I don’t know that layoff is the right word<…>hopefully finding them other places in the organization.” Adidas fans can no longer hold on to hope for new wearable devices from the company. This decision won't affect Adidas' partnership with Fitbit to release an athlete focussed version of the Ionic smartwatch in 2018.

Adidas isn't the only one ditching wearable devices industry- its chief rival Nike also cut back on its fitness wearable efforts in favor of digital partnerships and product connectivity. In addition, Under Armour announced just last month that it was killing its Health Box suite of devices.