Condensed Tech News and Updates

HTC to sell smartphone business, Google in talks to acquire it

We know that HTC hasn’t been fruitful for a while in financial terms. The disappointment of the HTC 10 in market justifies this statement and they believed their newest model U11 may set a change to this situation but financial reports of HTC in the month of August clearly shows the failure of U11 to give a fix to this crisis and they are in the worst condition when compared to the financial position of past 13 years. Now it looks like they are completely on the brink of getting absorbed by a larger company. In this scenario, the speculations indicate Google as the likely candidate.

Supposedly negotiations are being conducted between Google and HTC regarding the viable acquisition of HTC’s mobile handset venture leaving behind the Vive VR enterprise. But this information is not officially confirmed as none of these two companies made any announcements on this move.

Based on the reports of Commercial Times (Chinese publication), The search giant may consider two different choices – either gear up to be a strategic partner or straight away acquire the whole mobile phone unit. At the same time, HTC’s Vive won’t be apart of this acquisition and will stay independent from the Google.  Well, this is not going to be a surprise move when we consider the fact that the latest Pixel 2 models and previous year’s Google Pixel duo were all made by HTC.

Unofficial reports say that Google is going to hand over the manufacturing task of their upcoming Pixel XL 2 devices to LG. If this report is accurate it clearly shows that Google is not happy with the HTC’s manufacturing skills and this may lead to further decline HTC’s revenue. In past, we have seen Google spending large sums to acquire Motorola’s smartphone venture and two years later sold it for a much lesser figure. However, HTC  acknowledged the statements and refused to comment on the topic.

Source ctee

Comments are closed, but trackbacks and pingbacks are open.