US semiconductor giant Intel says it has completed the takeover of wearable device maker Basis Science.
Basis (San Francisco, CA, USA) specializes in developing wearables for health and wellness applications, including its Basis band health tracker, and the acquisition will provide Intel (Santa Clara, CA, USA) with immediate exposure to this fast-growing sector.
The financial terms of the deal were not disclosed, but Intel said it was keen to accelerate wearable device innovation by creating reference devices, chipsets and other technology platforms that can be used in this area.
The takeover announcement comes several weeks after Intel revealed details of a range of products, initiatives and partnerships addressing the wearables segment, including tie-ups with Barneys New York and the Council of Fashion Designers of America.
Intel is desperate to avoid a repeat of developments in the market for smartphones and tablet-style devices, in which it has largely failed to establish itself as a key player.
The chipmaker said the acquisition of Basis would extend its capabilities, provide it with new technology and give it additional staff “with a proven track record of innovation in wearable device technologies for health and fitness applications”.
“The acquisition of BASIS Science provides immediate entry into the market with a leader in health tracking for wearable devices,” said Mike Bell, Intel vice president and general manager of the company’s New Devices Group. “As we accelerate our position in wearables, we will build upon this foundation to deliver products that bring people greater utility and value.”
Intel said the Basis band would continue to be sold through existing retail channels and that staff would continue to work on its product roadmap and on serving existing Basis band users.
It also said it would start collaborating immediately with Basis employees on future wearable initiatives.
“The acquisition brings access to Intel resources, expertise and global scale as we work together to explore new possibilities of wearable technology,” said Jef Holove, former BASIS Science CEO and now a general manager in Intel’s New Devices Group. “Meanwhile, keeping our existing team intact ensures we can remain focused on our mission of improving the health and well-being of people.”