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HTC sells ODM unit to Google for NT$33 billion

2017/09/21 11:59:05

Taipei, Sept. 21 (CNA) Smartphone vendor HTC announced Thursday that it will sell its original design manufacturing (ODM) unit to the search engine giant Google for US$1.1 billion (NT$33 billion).

The two companies have established a long-term cooperation relationship. In 2010, Google and HTC entered into a partnership to manufacture Nexus devices.

Last year, Google retained HTC as a contract manufacturer of its Pixel and Pixel XL smartphones.

Earlier this year, Google announced that it was working with HTC to develop a stand-alone VR headset, which appears alongside a Daydream-like controller.

Daydream is Google's latest attempt at bringing VR to mobile devices and Daydream headsets are completely free of phones, PCs and wires.

HTC said Thursday that it will continue to develop its own smartphones and is preparing to build its next-generation handsets.

Established in 1997, HTC has had significant financial struggles over the past five years. Its business has suffered losses for nine consecutive quarters and its turnover in August slumped to NT$3 billion, the lowest in 13 years.

(By Tien Yu-pin and Evelyn Kao)