Alphabet Inc (NASDAQ:GOOGL) subsidiary Google is looking to take the fight to Apple Inc. (NASDAQ:AAPL) through the recently announced plan to acquire HTC’s engineering and design team.
Google revealed on Thursday that it the deal for the acquisition of some of the Taiwanese company’s employees was already in motion. The HTC deal is considered to be a significant move for Google because it will help to transform the Google Pixel so that it will be more competitive against Apple’s iPhone. The internet and software giant is most likely planning to take a more aggressive stance when it comes to its handset strategy and this most likely points towards a strong offering for the next generation Google Pixel phones.
The HTC deal also highlight’s Google’s increased focus on hardware. The company has so far had a lot of influence in terms of software because it owns the Android OS which is used in billions of handsets all over the world. However, it has not been a major player when it comes to hardware but the birth of the Google Pixel line ushered an opportunity to dive deeper into hardware.
“Our team’s goal is to offer the best Google experience across hardware, software, and services to people around the world,” stated Rick Osterloh in a blog post that announced the HTC deal.
Google is also trying to follow a similar strategy adopted by other companies including Apple and Microsoft Corporation (NASDAQ:MSFT). It involves having a strong presence in both software and hardware. Microsoft did this with its Surface line of products which have been quite successful.
Google’s venture into the handset market proved quite a challenge due to the fact that the market was already saturated with major players such as Apple and Samsung. Making an impact was thus going to be challenging but the company managed to attract a lot of attention with the Google Pixel This is especially because its camera was rated as the best handset camera in 2016. Google still has a long way to go if it wants to one-up the competition but it certainly has the resources to do so.
Alphabet stock closed the latest trading session on Thursday at $947.55.