Google, of Android operating system fame, released its first Pixel smartphones Tuesday to replace its Nexus lineup. HTC has been selected to assemble the device, becoming for Google what Foxconn is to Apple. “Google has done the design work and a lot of the engineering,” the Mountain View-based company’s hardware chief Rick Osterloh told Bloomberg News.
Ouch! That’s gotta hurt. After spending years building its design and engineering chops, HTC has been demoted to water boy. Supplying Google with smartphones isn’t a victory — it’s an embarrassing end to HTC’s decade-long campaign to break out of that contract-manufacturing business and stand on its own two feet.
Sure, sure, I see your point – or, and bear with me here, because this might shock you, but maybe, just maybe, being a manufacturer of someone else’s phones might actually be a more stable, more profitable, and wiser business decision in the long term.