Jawbone Liquidation Inflicts Losses, Prompts CEO Move to Health

  • Company was early wearables pioneer, known for sleek design
  • Health holds promise but also risks; will face Apple, Fitbit

Jawbone fitness tracker

Photographer: Kiyoshi Ota/Bloomberg
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Jawbone Inc. is liquidating, though its chief executive officer is starting again with a company that moves out of the fitness-tracker business in favor of health-related products, an area that deeper-pocketed rivals also are entering.

Founded in 1999, Jawbone was once a darling of Silicon Valley and regarded as a pioneer in wearable technology. Yet the company missed payments, had manufacturing issues that led to refunds for its fitness device and cut employees, despite raising multiple rounds of funds over a span of more than a decade. The closely held company also struggled against bigger competition that moved into the wearables market.