Runtastic launches hardware line, enters U.S.
The startup has built a team of 30+ people – without seeking institutional funding – and is broadening its field of competitors towards established companies such as Garmin or Nike with their move. However, the move does not come unexpected, and is a result of finding new revenue streams as a mobile-first company. Among the first products the startup is shipping will be a GPS-enabled watch that is connected to their web application and a chest strap, connected to a dongle, which allows users to measure their heart rate while doing sports.
According to co-founder and COO Alfred Luger their apps have been downloaded more than 5 million times and 2 million users have signed up to their web service. By directly distributing, but not manufacturing hardware, the startup walks along the line of US competitor Runkeeper, which announced a strategic partnership with Fitbit last April.
While growing strongly in Europe, the Austrian startup also announced that they are entering the U.S. market with a local representative working out of their San Francisco office. Hardware will intially be distributed throught their online store, while talks with retail partners are ongoing according to CEO Florian Gschwantner.