Google’s just dropped $250 million on HTC’s XR talent: Here’s why it’s a big deal

It looks like Google’s getting real serious about Android XR, the new platform from Google, Qualcomm, and Samsung that’s made for all things virtual and augmented reality. According to a short blog post on The Keyword, they just shelled out a cool quarter of a billion dollars to get some top-tier talent from HTC’s Vive team.

This isn’t the first time Google has tapped HTC for some serious brainpower. Back in 2017, they brought on a chunk of HTC’s smartphone crew to build out the Pixel division when they decided to start taking in-house smartphone hardware seriously. This investment has a similar vibe and shows that Google is serious about building “a new operating system built for this next generation of computing” with Android XR.

If you’re not familiar with HTC, they’ve been in the VR game for a while now, ever since they dropped that first Vive headset back in 2016. So they’ve got a whole lot of experience under their belts, and Google clearly sees the value in that. This move not only brings some serious engineering know-how to Google’s Android XR efforts but also gives them a “non-exclusive license for HTC’s XR intellectual property (IP).”

For Google, this agreement helps to further strengthen its commitment to the Android XR platform and its acceleration across the headset and glasses ecosystem, which will help drive the XR industry. The transfer to Google of a strong technical team with a proven track record in the VR/XR space builds upon Google’s significant investment in Taiwan as a key innovation and technology hub. – HTC

It’s also important to note here that HTC isn’t going anywhere. According to a press release posted on their website, they’re still committed to building out the XR ecosystem with products like the new Vive Focus Vision. This deal actually gives them more financial flexibility to do so. It really seems like a win-win for both companies to me.

As for a timeline, this agreement is subject to customary closing conditions and will be finalized sometime this first quarter. We’re expecting to see the first Android XR devices hit the scene this year, including the Project Moohan headset from Samsung that was just shown off at the Galaxy Unpacked event last week. And Samsung hinted at AR smart glasses in their presentation, too, which I am personally more excited about. So with HTC’s expertise in the mix, I’m hoping we continue to see more development and progress in the space from Google and partners.

Overall, I think this isn’t just a financial transaction – it’s a strategic move by Google to position itself at the forefront of spatial computing. And for users like us, it hopefully means we can expect some exciting new VR/XR technology and experiences in the near future.