Lululemon will get out of the equipment business, while Peloton will stop trying to compete in apparelAn employee changes a sign advertising fitness classes at the Lululemon Athletica Inc. sports apparel store on Regent Street in London, England, on July 27, 2017.The deal, announced late Wednesday, will see Vancouver-based Lululemon Athletica Inc. become the "primary athletic apparel partner" of New York-based Peloton Interactive Inc.
That's a marked departure of the tone between the two companies in recent years, as they have been competing in stores and in court for a bigger share of the growing market for exercise and related healthy living businesses.
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