US: Calling for backup from smartphone producer HTC

Taiwanese news outlet Commercial Times reported Google has nearly completed an acquisition of HTC, the smartphone maker that builds the Google Pixel. Acquiring HTC would give Google strategic ownership of its mobile operating division and could help offset some of the strategic challenges the company’s mobile computing business could potentially face, according to one analyst.

Those challenges include deeper integration of hardware and software to alleviate Android fragmentation issues, optimization of development cycles, mitigation of rising Distribution TAC expenses and a counterpoint to the unbundling of apps that has resulted from the European Commission’s investigation of Android, the analyst said.

After a number of unsuccessful smartphone launches, HTC formed a separate division selling virtual reality headsets, which could be further reason for Google’s interest.

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