Google is made with talent that until now worked for HTC. These companies have also reached an intellectual property license agreement.
The rumors were pointing in this direction. And in the end this has happened. Google and HTC Corporation have announced an agreement that in practice leads the first to acquire part of the second smartphone business .
Specifically, what Google will do is to get some of the talent from HTC . This company has specified that many of those employees were already working on the development of Pixel smartphones . “The agreement is a testament to the strategic relationship of a decade between HTC and Google around the development of premium smartphones ,” reads the official statement .
The transaction should be completed in early 2018 and strengthens Google’s hardware business in exchange for $ 1.1 billion . Its protagonists also emphasize that it represents a significant investment of Google in Taiwan as a technological center. And there are still more. Google will obtain non-exclusive license of the intellectual property of HTC .
“This agreement is a brilliant step in our long partnership, enabling Google to grow its hardware business, while ensuring continued innovation within our HTC smartphone and VIVE virtual reality business,” said Cher Wang, president and CEO of HTC.
“We believe that HTC is well positioned to maintain our rich legacy of innovation and harness the potential of a new generation of connected services and products,” Wang adds.
And HTC is thus able to rationalize its portfolio of products and increase operational efficiency, she says. The agreement also gives him financial flexibility. Although it will continue to rely on engineers working on phones, HTC is keen to focus on areas such as virtual reality, augmented reality, the internet of things and artificial intelligence .