Under Armour Buys MapMyFitness Apps for $150 Million
Under Armour (NYSE: UA), the Baltimore-based fitness apparel maker, has agreed to purchase sports technology company MapMyFitness Inc., for $150 million, the company announced Nov. 14, representing Under Armour's first acquisition to date.
The purchase of MapMyFitness, which produces the popular MapMyRUN, MapMyRIDE, and MapMyWALK apps, among others, gives Under Armour access to the company's 20 million registered users and 9 million monthly active users, a move Under Armour hopes will boost its digital presence.
"This partnership is about Under Armour enhancing our digital expertise to drive the future of performance innovation for the global athlete community," Kevin Plank, founder and CEO of Under Armour, said in a statement. "We will build on the community of over 20 million registered users that MapMyFitness has cultivated in the connected fitness space, and together we will serve as a destination for the measurement and analytics needs of all athletes."
Over 700,000 people on approximately 400 various devices use one of the MapMyFitness apps every day. The Austin, Tex-based company was founded in 2007 and quickly became one of the leading pioneers in the fitness-tracking arena, a booming business with revenues of $1.6 billion this year, and growing up to $5 billion by 2016.
Nike has been a prominent leader in the fitness tracking space with its Nike FuelBand and Nike+ social platform launched in 2006 that now boasts 20 million members across the globe. A wide range of companies are seeing fitness tracking as an area of potential growth, ranging from bigwigs such as Google (Nasdaq: GOOG), Samsung and Apple (Nasdaq: AAPL), to startups building wearable devices with a range of sensors and biometric abilities.
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