History tells us that Google paid $12.5 billion for Motorola Mobility in August 2011, only to sell it for a fraction of that value two and a half years later. Every time the Mountain View giant wanted to fully enter a specific hardware market, it encountered a huge number of obstacles, so the partial acquisition of HTC sounds much more reasonable. The agreement includes $1.1 billion in cash, employee transfers, and a non-exclusive license to HTC's intellectual property, thus guaranteeing its continuity as a brand.
Rumors had gained a lot of strength in recent hours, but they suggested a completely different development. HTC's current situation is very complicated, and a total acquisition by Google was not such a far-fetched option. In fact, several specialized media got ahead and gave it as confirmed, but a brief announcement on the official blog reveals very important details. To begin with, Google does not call the process a "purchase" but an agreement. If we follow the available information, within that agreement there is a transfer of two thousand HTC employees (one fifth of its workforce) to Google's ranks, a payment of $1.1 billion in cash, and a non-exclusive license on intellectual property.
What does that "non-exclusive license" mean? In very loose terms, HTC will remain an independent company, and we will continue to see its phones on the shelves. So... what exactly did Google receive? From a technical point of view, it is the "smartphone division", but to be more specific, it is the team linked to the Pixel and Pixel XL phones. In reality, the relationship between Google and HTC is much closer. The first Android phone was the HTC Dream, and the Taiwanese manufacturer was also in charge of the Nexus One, and later designed the Nexus 9 tablet.
Google has just sent a very important message with this agreement, and it is that it seeks to claim a privileged place in the hardware market. Next October 4, announcements of two new Pixel phones and a Chromebook are expected, however, there is something extra. Google seems to have concluded that the future of Android depends on much stricter control over the specifications of its devices, although this could generate conflicts with its current partners.
