Google announced yesterday that it was contemplating about hiring engineers from HTC. HTC is a Taiwanese company that is currently struggling. The move is likely to cost Google approximately $1.1 billion. However, this will help the technology giant develop hardware that will be used in its operations especially in mobile technology. On its part, the Taiwanese company released a statement saying that close to 2,000 of its engineers will be affected by the move. For starters, this is not the first time that these two companies have been in business. Late last year, Google contracted HTC to manufacture its first smartphone known as Pixel smartphone. The latest deal involves manufacturing the next version of the Google phone. According to a source close to the company, the next phone will be announced early next month. This is a sign that Google is increasing its investment in its own hardware. In the past, executives from Google have expressed the desire to combine their artificial intelligence with such devices. An example of the artificial intelligence that is being targeted by Google is Google Assistant which is currently voice-controlled. This is a move that has been adopted by other tech firms such as Apple. This makes it easier to insert new features into their devices. A good example from Apple is the augmented reality functions.
Google hardware senior vice president Rick Osterloh mentioned in a blog post that their continued involvement with HTC is a clear indication of the support they have for their hardware. Other hardware’s currently being produced by Google include a Chromecast streaming video device, Google Home and even a smart speaker. However, the two sides refused to disclose the number of engineers that will be working on the project. Chief financial officer from HTC Peter Shen suggested that the deal would involve close to 2,000 people who will be involved in design and research. The first process involved approximately 4,000 people. The two companies have also agreed that Google will acquire some licenses from HTC. However, this will be done nonexclusively. HTC released a statement later saying that they will continue with their ventures of producing new phones. They even promised a new phone model. The good thing about acquiring engineers from HTC allows Google to acquire hardware talent without necessarily having to incur costs. Some of these costs would have included manufacturing facilities. Google recently sold Motorola at $2.9 billion having acquired the same at $12.5 billion.