Bringing an end to the rumors of the end of Nike FuelBand wearable devices, Nike’s CEO Mark Parker confirmed that the company would be focusing more on “smart” software rather than creating wearable hardware.
On Friday, in an exclusive interview with CNBC, Nike’s chief executive Mark Parker revealed that Nike is moving away from wearable device development like wearable wrist-worn smartbands after it was reported that Nike will trim its wearable team.
It was also reported that the company will not kill the FuelBand, but limit the productions. Hence, those reports proved as partly, true. Now that the team of 55-70 FuelBand staffs will have to go home, if the company won’t find any alternate place for them.
Nike+ FuelBand SE and Nike+ SportWatch could see an end in production, while its popular fitness and health tracking app “Nike+ Running” will be continued to develop further. Still, Parker hopes to see the growth in NikeFuel fitness-tracking program’s users from 30 million to 100 million.
Mark Parker said in an Interview with CNBC:
“We are focusing more on the software side of the experience and I think we will be part of wearables going forward, it’ll be integrated into other products that we create. Digital sport, as we call it at Nike, is incredibly important to us and we think it’s going to be a bigger and bigger factor in terms of the experience that consumers have with the products we create.”
Nike CEO also mentioned the company’s longstanding partnership with Apple, but not revealed any details about the possible collaboration between the two companies on any smart wearable devices in the future.
There are some rumors surfaced that suggests Nike will partner with upcoming Apple smartwatch to deliver its fitness-tracking program on possible iWatch.
Reports also claims that the high expenses, low business margins and manufacturing challenges are the key reason for the slowdown of Nike+ FuelBand SE’s production.
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