Pebble has successfully run the largest Kickstarter campaign, raising more than $ 10.2 million in 2012 [1] [2]. However, Pebble’s future might not be so bright.
First, the USPTO recently issued a final rejection to Pebble Technology’s only US patent application (US Patent Application Number 13/511,531 titled System and Method for Alerting a User on an External Device of Notifications or Alerts Originating from a Network-Connected Device) on March 10, 2014 [3]. In contrast, Apple has filed at least 79 patents related to smart watches [4]. Second, large companies have the resources to defend themselves against non-practicing entities while a startup such as Pebble Technology does not. Fortunately for Pebble Technology, this concern is somewhat alleviated by the 2013 Obama Executive Order on Patent Trolls.
But Pebble is also facing strong competition from established consumer electronics giants such as Sony. In addition, other companies such as Google and HTC are eager to enter the market. Furthermore, cheaper alternatives such as Fitbit may be more attractive to some consumers. Clearly, the wearable technology space is not short of impressive design and technologies [5] [6].
Navigating a crowded technology space is definitely not easy for a startup. To be successful, a startup needs to be innovative, to have a strong business plan and strategy, and to have intellectual property protection. And Pebble Technology might need help in all these areas.