Published on : Sep 21, 2017
In a new hardware strategy, Google Inc., a multinational technology giant, has entered into a cooperative agreement with HTC Corporation, a Taiwanese consumer electronics company, to enable some of the latter’s employees to work for Google. A cash of $US1.1 billion, will be offered by Google to HTC, as a part of agreement. Google will also receive a non-exclusive license grants for the intellectual property owned by HTC.
As a part of the process, the search engine behemoth will have a control of hardware engineering resources held by HTC, while the latter will be able to retain its branding.
Partnership to Help Google to Make Innovative Consumer Devices
Google has partnered with HTC before and for quite some time, which has enabled it to develop some premium devices; the latter’s role in developing the Pixel smartphones is a case in point. The currently announced agreement will take the collaborative spirit further. Google excitingly states that this will facilitate innovations in consumer hardware for its products in the coming years.
HTC has been actively focusing on fortifying its virtual reality business; the building of the VIVE standalone VR headset has been one of the crucial developments. It has been in phone business for quite some time, with HTC U11 phone launched this year receiving some positive reviews across users.
The agreement, believes Google, will allow it have a greater say in device making. After Google unexpectedly sold Motorola to Lenovo, a Chinese multinational technology company, in 2014, it has begun embarking on the approach of acquiring a part of another smartphone maker to fortify its hardware strategy.