In the past year, Jawbone was trouble in managing business and the lawsuit with Fitbit. The Fortune quoted from confirmed source that Jawbone planned to make over the wireless loudspeakers business and focus on the development of wearable device. However, some medium reported that Jawbone will exit the wearable market.
The confirmed source revealed that Jawbone is seeking for buyers to make over the Jambox wireless loudspeakers business. Jawbone is also working with the third party enterprises to clear stocks of louder speakers.
Jawbone was once the popular star among wearable industry in US. It suffered a great amount of troubles in the past year. It announced to cut 60 employees last November, accounting for 15% of its total workforce.
Recode reported that Jawbone initiated a new around financing in the beginning of this year. Its market value was down to $1.5 billion while it valued at $3 billion in past April. The decrease of assessment indicated that investors doubt about Jawbone’s prospective.
Jawbone was trouble with a series of lawsuits as well. Flextronics sued Jawbone violated the contract of OEM, with $ 20 million unpaid wages.
Jawbone sued Fitbit violated its patten rights by hiring Jawbone employees to steal confidential technology. However, the verdict is in favor of Fitbit.
It is unclear whether Jawbone exits wearable market for good or not. It is also reported that Jawbone has possibility to release new wearable device in the future.
Apple, Fitbit, Garmin, Polar, Samsung and Microsoft all manage the wearable products. Among the manufacturers, Fitbit is in the leading position as it obtained 25% of user share in this market. Jawbone wearable device is out of top 5 list worldwide.