2,000 HTC smartphone experts will join Google to beef up its hardware division as part of a $1.1 billion deal.
(CCM) — Google is giving its consumer electronics and smartphone business a massive shot in the arm by teaming up with HTC in a $1.1 billion deal. In return for the cash investment, an HTC smartphone team which worked on Google's Pixel device will join Google's hardware division, Rick Osterloh, Google's hardware senior vice president, announced in a blog post. Google will also get non-exclusive access to HTC intellectual property.
"Creating beautiful products that people rely on every single day is a journey, and we are investing for the long run," Osterloh said, explaining the deal.
HTC and Google have a decade-long history of collaborating on hardware, and together they produced a number of devices including the HTC Dream — the first ever Android smartphone — as well as the Nexus One, the Nexus 9 tablet, and the first Pixel smartphone. The Pixel 2 is due to be unveiled on October 4, 2017.
This is Google's second attempt at buying smartphone manufacturing expertise. In 2011 the company bought Motorola Mobility for $12.5 billion, but sold the company three years later.
The Google - HTC deal is expected to be completed in early 2018, and about half of the HTC smartphone research and development team — about 2,000 people — will become Google employees.
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