Google Overhauls Hardware Division in Major Functional Reorganization

Google is consolidating its Pixel, Nest, and Fitbit teams into a centralized functional model, resulting in the departure of Fitbit co-founders and hundreds of layoffs.

Google is reorganizing its Devices & Services teams to unify the Pixel, Nest, and Fitbit hardware divisions under a centralized functional model. Instead of operating as separate, independent miniature companies, these product lines now share single teams for core aspects like hardware engineering and software design. This structural shift mirrors the approach used by competitors like Apple to create more cohesive product ecosystems.

The leadership shakeup includes the departure of Fitbit co-founders James Park and Eric Friedman, along with several other Fitbit executives. Park originally stayed on as vice president and general manager after Google acquired Fitbit in 2021, but he now leaves the company following his final public appearance during the Pixel Watch 2 launch in October.

This reorganization also results in several hundred layoffs across the Devices & Services division, with the majority of job cuts impacting Google's first-party augmented reality hardware team. The significant downsizing in the AR division suggests that Google is abandoning its plans to build custom AR hardware in favor of relying entirely on OEM partnerships. Affected employees have the opportunity to apply for other open roles within the company.

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