Ryan Haines / Android Authority
TL;DR
- Garmin recently conducted an earnings call for the first quarter of 2025.
- In the earnings call, CEO Cliff Pemble explains why the company decided to launch Connect Plus.
- Pemble also mentions reserving features for the subscription service.
Since the launch of Connect Plus in March, Garmin users have been worried about the future of their devices. These users aren’t just upset about the mere introduction of a subscription service; there’s a palpable concern about what this paywall could mean for new features going forward. A recent earnings call appears to show that there may be some substance behind these fears.
Garmin recently conducted an earnings call for the first quarter of 2025. During this call, the company announced an 11% improvement year on year, netting earnings of $1.54 billion. On top of that, Garmin reached a record $330 million in operating income. Around the 16:30 minute mark, the call was opened up for questions.
When asked about the launch of Connect Plus and why the decision was made, CEO Cliff Pemble stated:
I think we’ve been saying for a while that we are evaluating opportunities to have a premium offering on Garmin Connect. I think the developments of AI and particularly around AI-based insights for our users was one of those things that we felt was important to recognize the value for the investment that it takes to do.
Pemble went on to mention that the company “felt like it was the right time” and added that they have not taken away any previously free features. Although the smartwatch maker may not have any plans to take away previously free features, Pemble seemed to confirm what users have been worrying about over the last few weeks.
While discussing the various features Garmin offers, Pemble says “certain ones, we will likely reserve for premium offerings.” Meaning that the company may focus on making Connect Plus a more robust offering by working on features that will be hidden behind the subscription.
Considering that one of the biggest complaints about Connect Plus is how underwhelming it is, Garmin wanting to build out its service doesn’t come as a big surprise. Unfortunately, if Connect Plus is to become a service worthy of a subscription, such a move is necessary. However, knowing this doesn’t exactly ease the sting that comes with realizing more and more features may become exclusive to Connect Plus.
