We’ve been saying that HTC may sell off parts of or the whole business. Google was soon rumored to purchase HTC’s mobile business. And just yesterday, HTC fueled Google acquisition rumors after they suspend trading. Now, Google has made an official announcement that it has signed an agreement with HTC. This partnership continues the tech giant’s move to expand its hardware division.
In a blog post, former Motorola CEO Rick Osterloh announced that they have signed an agreement with HTC to work on hardware. This team-up will bring HTC talents to join the hardware organization. Some of them have already worked together on the Pixel phone manufactured by HTC. WIth this deal, Google also gets a non-exclusive license for HTC intellectual property.
Google has launched the Made by Google products. The line replaced the Nexus series and has introduced more Google-powered devices such as the Pixel phones, Google Wifi, Google Home, Chromecast Ultra, and Daydream View. A new wave of products will be launched this coming October 4.
HTC and Google have long been working together. The first Android phone is actually an HTC device—the HTC Dream in case you’ve forgotten. It was more known as the T-Mobile G1. Google has also released the Nexus and the Nexus 9, and the Pixel—all made by HTC. This partnership will be good for both companies—more business for HTC and a stronger hardware division for Google.
In a separate press release, HTC announced the US$1.1 Billion Cooperation Agreement with Google. This will have some HTC employees joining Google and reinforce the Taiwanese tech giant’s commitment to innovation and the branded smartphone business strategy.
HTC CEO and Chairwoman Cher Wang shared: “This agreement is a brilliant next step in our longstanding partnership, enabling Google to supercharge their hardware business while ensuring continued innovation within our HTC smartphone and VIVE virtual reality businesses. We believe HTC is well positioned to maintain our rich legacy of innovation and realize the potential of a new generation of connected products and services.”
This Google and HTC transaction is still subject to regulatory approvals and customary closing conditions according to HTC. It is expected to be finalized early next year.
SOURCE: The Keyword (Google), HTC
