Reason Why Google Want To Acquire HTC Phone Business

Google want to buy HTC smartphone business. In fact, talks between HTC and Google are said to be in the “final stage of negotiation” and a final decision could be made soon.

Though this information is strictly unofficial and there is no specific amount mentioned yet for the possible acquisition of HTC’s smartphone business (leaving the Vive VR business).

Google is one of the biggest companies in the world and it’s a big threat to other companies whenever they make their interest known to them about acquisitions as they have the required wherewithal.

But what is actually the main reason behind Google’s intentions to acquire HTC smartphone business? Well, the news is made plausible for two reasons – Google needs a hardware manufacturing arm for its Pixel smartphones and HTC has just suffered its worst financial month in 13 years – August 2017 saw a year over year decline in revenue of 54% and a 51% decline over the previous month.

Rumor has it that Google got LG to make the Pixel XL 2, which would further decrease HTC’s profits (HTC made the first generation Pixel phones).
Ref: 1, 2, 3.