Fitbit Slammed with $12 Million Fine for Deceptive Smartwatch Practices Exposing Users

Fitbit Fined $12.25 Million for Failure to Report Serious Burn Hazard with Ionic Smartwatches

Fitbit has agreed to pay a significant price for its mistake. The company has been ordered to pay a $12.25 million fine for its failure to report a serious burn hazard with its Ionic smartwatches. But what exactly happened, and why is Fitbit being held accountable?

The Burn Hazard

Back in 2018, Fitbit began receiving reports of its Ionic smartwatches overheating while being worn by consumers. This caused some users to suffer burns, including second-degree and third-degree burns on their arms or wrists. Despite this, Fitbit continued to receive reports of burn injuries even after releasing a firmware update in early 2020 designed to mitigate the risk of battery overheating.

The Penalty

As a result of its failure to immediately report the hazard to the Consumer Product Safety Commission (CPSC), Fitbit has been ordered to pay a $12.25 million fine. But that’s not all. The settlement agreement requires Fitbit to improve its internal controls and procedures to ensure compliance with the Consumer Product Safety Act (CPSA). Fitbit will also need to submit annual reports detailing its compliance program, internal controls, and internal audits of its policies and procedures.

Recall and Resolution

In March 2022, Fitbit initiated a recall of the affected smartwatches. The company reported receiving at least 115 reports of the battery overheating in the US, with 78 reports of burn injuries, including two cases of third-degree burns and four cases of second-degree burns. Although the recall helped to mitigate the risk, the fine is a clear message that Fitbit needs to take greater responsibility for the safety of its products.

Key Takeaways

• Fitbit has been fined $12.25 million for its failure to report a serious burn hazard with its Ionic smartwatches.
• The company received numerous reports of its smartwatches overheating and causing burns, including second-degree and third-degree burns.
• Fitbit is required to improve its internal controls and procedures to ensure compliance with the Consumer Product Safety Act.
• The company will submit annual reports detailing its compliance program and internal audits of its policies and procedures.