Adidas today announced that it had acquired Runtastic in an exciting deal. While both the companies are silent on the financial details of the deal however Reuters reports that it is worth close to $240 million. This could be proved a boon for adidas to own Runtastic in this competitive world.
Adidas is definitely not a new name to use technology in its business. It has its own lineup of connected hardware under the brand name ‘micoach’. Runtastic, on the other hand, have a bunch of fitness-related hardware, fitness-tracking apps, and a userbase of over 70 million.
This acquisition would not only help Adidas better compete with its rival Nike, but also introduce it to a whole new space that it hasn’t ventured into — virtual reality. Runtastic recently demoed a 7-minute workout app for the Oculus Rift. This shows that Runtastic is improving and expanding in all the possible areas.
“Adidas is the perfect strategic partner for Runtastic and we are very eager to leverage our business in new and unique ways in the future,” Florian Gschwandtner, Runtastic CEO and co-founder said.
In a blog post, Gschwandtner wrote how despite the acquisition, Runtastic “will remain its own entity,” and is currently on course to launch an app towards the end of this year.