Intel Corporation (NASDAQ:INTC) has completed the Acquisition process of the designer wearables technology company, Recon Instruments.
Intel invested $4 million in the smart eyewear designer in 2013. The invested amount was distributed towards global sales expansion, marketing, and product development. Senior vice president and general manager of Intel’s New Technology Group made a statement with regards to the acquisition. He said that the development of wearable technology has made rapid achievements through upcoming changes in microchip and computing technology.
Recon’s CEO and Co-founder Dan Eisenhardt described Intel Corporation (NASDAQ:INTC) as the ideal company to partner with seeing as how they are leading giants in microchip technology. He further added that the acquisition will be an opportunity for Recon Instruments to acquire further financing. The extra funds will be used to push the wearables firm towards the achievement of the main objective that is to be a leader in the development of wearable technology.
Neither of the two firms has revealed the terms of the deal. However, Recon’s CEO claims that the smart eyewear business will remain in Vancouver where it will maintain its entrepreneurship spirit and talent. The acquisition brings Recon on board as one of Intel’s acquisitions in the wearables industry. In 2014, the Chip maker bought a smart watch manufacturing company called Basic Science.
The wearables industry has been growing rapidly, and the competition is equally stiff. Major firms such as Apple and Lenovo have also ventured into the wearables market through smart watches. The market has also accepted wearable tech thus presenting a huge niche. Many new firms are also embracing the technology. The wearables market is currently experiencing an influx of different wearable devices such as wristbands, rings, eyewear and more.
Internet and technology giant Google Inc. has also been venturing into the wearables industry with its Google Glass. When the gadget was introduced, the concept was widely received. Unfortunately, it failed to take off as expected, perhaps due to the high price. The Apple Watch has become the most famous wearable since it was revealed a few months ago.