HTC Getting $1.1 Billion Injection From Google To Aid VR And Phone Business

by Ian Hamilton • September 20th, 2017

Google is taking a team from HTC that developed the Pixel smartphone, and getting access to HTC intellectual property, in exchange for $1.1 billion.

The money could help HTC push its VR efforts into next steps, which likely includes a future generation of its HTC Vive PC-powered VR system as well as a coming standalone headset that works with Google’s Worldsense tracking technology. The money will also be used to aid HTC’s smartphone business.

“This agreement with Google allows HTC to continue to innovate across the organization and develop cutting edge products,” HTC spokesperson Patrick Seybold said. “We’re not only supporting our branded smartphone business by enabling a more streamlined product portfolio and providing greater operational efficiency and financial flexibility, but also investing further in next-generation technologies, including VR, AR and AI. This enables us to continue building out the virtual reality ecosystem to grow the Vive business, and to focus on new business opportunities.”

The agreement, which is expected to close early in 2018, puts to rest rumors suggesting a deal was in the works. HTC continues to develop its “next flagship phone” and will “continue to build the virtual reality ecosystem to grow its Vive business,” according to a press release. HTC is giving Google a “non-exclusive” license to HTC intellectual property as part of the deal.

“Certain HTC employees – many of whom are already working with Google to develop Pixel smartphones – will join Google,” the release said.

Google is expected to reveal its next steps in VR, and the Pixel smartphone line, at an event on Oct. 4.

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What's your reaction?
  • Raghavendra Kopalle

    With this move Google should stop treating Pixels as mere reference designs for other OEMs and get more serious about their own lineup which would genuinely interest consumers and not just developers. If the Pixel rumours are true, the upcoming Pixels are underwhelming even compared to the Galaxy series which is already half an year old. If Android One can help streamline the mid-tier Android market, they should do something about the flagship/high end devices where the real cutting edge features come, where Apple & Samsung have a duopoly. Otherwise any new technology, be it Daydream or Arcore will find it difficult to see mass adoption.

  • Tommy

    10/4/17 should be pretty interesting!

  • Meusli

    Well that is me done with HTC, can’t abide these large data mining companies getting their mites on my gaming habits. Next stop Razer?

    • evo_9

      Like Facebook is better?

      Also you are on Windows presumable most of the time, probably Win10 which is the worst OS for privacy if you really care about that shit.

      Best approach, just setup a gaming rig and only us it for that… use a *Nix box to surf, email, etc… otherwise you are kidding yourself.

      • Meusli

        “Next stop Razer?” Why do you think I typed that part? I went with HTC because of Facebook, now I have google up in my face and I am not happy with that. I know all about how to operate online and these new companies treating us like a product rather than the customer.

        • evo_9

          Yeah I’m with you believe me, I chose VIVE for the same reason. It sucks, no question about it… I just try not to worry so much and mitigate how much those bastards can get off me. Pretty much all we can do at this point.

        • Lomax

          Google did not buy the Vive Division fools !, they bought out the Pixel Engineers and the Lab and office that they work out of. Yes Google also got a non exclusive license for HTC patents but as the Vive patents are controlled by Value non of these should be part of that.

          • koenshaku

            Exactly, reading is fundamental lol.

  • Onyx Blue

    Ah hahah 😁

  • Onyx Blue

    Victory fucking war dance 😁

  • Onyx Blue

    VR about to hit hard!

  • HybridEnergy

    VIVE 2 will be made out of a cardboard box 🙁 .