Mergers and acquisitions are an important part of the business practices, as in the past it was evident that the numbers of renowned enterprises are forced to sell themselves because of their outclassed marketing strategy and poor business execution.
And now it seems that the HTC is also on the same path, as according to the latest report from a Taiwanese based press has confirmed that the Google is in the final stage of the negotiation with HTC to buy acquire its smartphone business entity. As we know that the Google has also acquired Motorola way back in 2012 which was further sold to Lenovo.
Nonetheless, the HTC phone business unit is suffering from huge sales drop in past few years. According to the latest report from DigiTimes, HTC U11 sale figure has been dropping drastically up to more than 50% in the month of August. And, it seems that the U series line up is quite a loss story for the company. Every offering from the company was fallen apart and they never offer stiff competition to the likes of Apple, LG, and Samsung.
According to the Chinese publication, Commercial Times, HTC is itself take the initiative to sell their smartphone business unit to Google, and the negotiation is in the last stage. However, it may be possible that the Google may not buy the HTC smartphone unit and may interest in some strategic alliance with the company.
As per latest rumors, HTC is manufacturing the next iteration of Pixel smartphone for Google. As being the licensee manufacture, this business seems to be a quite profitable to HTC in the recent years. And, that is why Google saw an opportunity to avail a strategic business approach towards HTC smartphone business unit which seems to be a quite valuable perspective for future business.