Saturday, 23 September, 2017

HTC takeover a strategic investment for Google

Google планирует выкупить часть HTC Negotiations between Google and HTC is already on sovershennoi stage
Velma Reese | 10 September, 2017, 14:16

Following years of disappointing financial results, new reports claim that HTC is selling off its ailing smartphone business to Google.

The two companies are in the final stage of talks that would see the Mountain View company only take a mobile-related unit rather than the whole company or the VR division, a Taiwanese publication reported.

Originally a Windows Mobile contract phone manufacturer, HTC now produces Google's Pixel phones, a relationship which is expected to continue. HTC could also choose to sell the smartphone business, and the buyer would have the lever to pull.

HTC used to be one of the topmost mobile manufacturers in the world.

Rumor has it that Google is about to buy HTC's smartphone business. Should Google buy those too if they're in bad shape? The HTC Vive VR unit is not part of the negotiations.

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HTC's finances have slid in recent times, with the company posting low revenue despite launching flagship devices.

The reports may not be that factual since Google already has gone down this avenue before but there is a reason why there might be interest by Google in HTC.

HTC themselves say that they have completely unlocked Edge Sense for users to use them in any way they deem fit. The company initially liked the idea of Apple-like integration between hardware and software for Android and felt it could better accomplish this by owning a handset maker.

HTC makes smartphones with great hardware, build quality and audio capabilities but lacks the brand value and marketing prowess that a behemoth like Google can provide.

But this isn't Google's first time acquiring a company only to resell it. Google purchased Motorola Mobility in May 2012 for $12.5 billion. HTC is expected to ship Google's next-generation Pixel smartphones in September. It is expected that Google will unveil additional Pixel smartphone models this year and that HTC will provide contract production services for the US client.

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