Pebble is cutting 25% of its work force, because “money is pretty tight”
Pebble is downsizing its workforce by 25%, CEO Eric Migicovsky has confirmed in an interview with Tech Insider. Despite the popular success of the Pebble Steel and Pebble Time Round, Migicovsky has said that”money is pretty tight right now”. The comments come on the back of a successful venture capital round that generated $28 million dollars through a mix of debt and venture capital from unnamed private investors.
Despite the new cash injection and the $20 million Kickstarter campaign Pebble managed last year, Migicovsky said “we’ve definitely been careful this year as we plan our products.” Pebble’s future is looking increasingly towards the health and fitness sector with the company also branching out into new markets, including a move into India next month courtesy of a new Amazon partnership.
Considering Pebble's comparatively low pricing and impressive battery life, the company may well succeed in new markets where others have failed. But it's clear that all is not well in the wearable sector. With Pebble letting a quarter of its employees go, Fitbit stocks crashing recently and even a price reduction on the Apple Watch, smartwatches have not exactly panned out to be the must-have accessory many companies thought they would be. Only time will tell if Pebble's long-term vision manages to play out as planned.
What do you think of Pebble's smartwatches? Where do think wearables are going?