Google has reportedly expended over $1.1 billion to acquire most of what HTC’s smartphone design division has to offer. These rumors were confirmed when the Google hardware SVP, Rick Osterloh announced the news through his blog post. He advised the followers to look forward to an “incredibly talented team to work on even better and more innovative products in the years to come.”

The deal initially inked by Google requires over 2,000 HTC engineers to move over to Google’s headquarters, notes The Verge. The report further states that while these HTC engineers will operate from Taiwan, they will do so, under Google’s banner. Osterloh in his blog post notes that Taipei is quickly becoming a significant engineering hub for Google, especially in the Asia-Pacific region. “HTC’s contract manufacturing operations and VR division are not affected, but a substantial majority of the smartphone R&D team is joining Google, a person familiar with the matter confirms,” the Verge report read. The latest move represents Google’s hardware efforts to pump up its Pixel line-up with the best kind of experiences. It is being reported that the new engineering talent will be focused on improving the Pixel smartphone experience.

Google has been on working terms with HTC (on contract basis) ever since they began work on Pixel and Pixel 2 smartphones. A source familiar to Google’s development team suggests that with the latest acquisition, the company will now have a much more significant R&D in-house team. The search giant is still just starting off when it comes to the smartphone segment. The company hopes to deliver fierce competition to the already-existing market leaders such as Apple and Samsung in the smartphone category. “We don’t want it to be a niche thing,” Osterloh said while referring to Google’s smartphone line-up. “We hope to be selling products in high volume in five years,” the report further added.

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