Logitech Lands Jaybird, Adds Accessories to the Roster

By Steve Anderson April 13, 2016

Mergers and acquisitions (M&A) activity has been flying hard and fast in the mobile markets lately, with earlier reports of ZAGG picking up Mophie for better than $100 million. Logitech recently made a similar deal, landing Jaybird for $50 million and potential other payouts to follow. With Jaybird's acquisition, Logitech lands a new line of accessories that give it an even better market reach.

Jaybird focuses on activity trackers and Bluetooth headphones, and that made it a target for Logitech as the companies, as Logitech president and CEO Bracken Darrell put it, “...share a passion for products.” Darrell also noted that Jaybird impressed Logitech with its array of products and technology, along with its marketing savvy. All of these are good signs for Jaybird, as it's been promised access to an additional earn-out of up to $45 million based on growth targets over the next two years being achieved. The deal is subject to standard closing conditions, but is expected to be closed in a matter of weeks.

Logitech's biggest motive in buying Jaybird, based on word from Darrell, is to better focus on what he termed “...the fast-growing wireless audio wearables market.” With Jaybird, Logitech could not only put its own expertise in design and audio engineering, but also bring in Jaybird's brand loyalty and its name recognition in sports into better play.

Wearable devices are indeed a growing part of the field. Some have even wondered if these might not be the next smartphones, and sports-related wearables are making a name for themselves in the field. Immediately accessible and serving many different functions from activity tracking—how many steps, how much distance and such—to outright biometric tracking with things like heart rate and pulse tracking, there's quite a bit of room in this market, especially when other mobile functions like mapping and augmented reality come into play. Logitech, however, isn't commonly associated with such tools—the first thing I think of when thinking Logitech is keyboards and computer mice—so it needed a better way into the market. Jaybird's brand recognition may have served that purpose nicely, and made it well worth the $50-$95 million to be shelled out for it, especially if it can give Logitech an in on a growing market.

Quality hardware is just part of the battle; name recognition is also a vital point to bear in mind. That's a point Jaybird can provide, and Logitech may well have picked up the golden key it needs to get its impressive hardware lineup full access to a growing market.




Edited by Rory J. Thompson

Contributing Writer

SHARE THIS ARTICLE
Related Articles

Modern Moms Shaping Influence

By: Maurice Nagle    7/19/2018

Everyone knows Mom knows best. The internet is enabling a new era in sharing, and sparking a more enlightened, communal shopping experience. Mommy blo…

Read More

Why People Don't Update Their Computers

By: Special Guest    7/13/2018

When the WannaCry ransomware attacked companies all over the world in 2017, experts soon realized it was meant to be stopped by regular updating. Even…

Read More

More Intelligence About The New Intelligence

By: Rich Tehrani    7/9/2018

TMC recently announced the launch of three new artificial intelligence events under the banner of The New Intelligence. I recently spoke with TMC's Ex…

Read More

Technology, Innovation, and Compliance: How Businesses Approach the Digital Age

By: Special Guest    6/29/2018

Organizations must align internally to achieve effective innovation. Companies should consider creating cross-functional teams or, at a minimum, incre…

Read More

Contribute Your Brain Power to The New Intelligence

By: Paula Bernier    6/28/2018

The three events that are part of The New Intelligence are all about how businesses and service providers, and their customers, can benefit from artif…

Read More