HTC Looks at the Enterprise with Magnet Systems Investment

HTC has been in the news for the past couple of days primarily because of 2 reasons. It has announced that it is investing $35.4 million in Magnet Systems, an enterprise apps startup, for a 17.1% stake, valuing the company at nearly $208 million. HTC seems to be focusing on the enterprise for now, to compensate for its declining clout in the consumer smartphone space.

“The investment will bring social, mobile, and cloud capabilities to HTC’s portfolio of service offerings to its mobile enterprise customers. The leading-edge social, mobile and cloud technologies at the heart of Magnet’s platform make it an ideal foundation for the applications and services that enterprises will be buying and building in the coming years,” said HTC.

Like Apple, even HTC is looking to grab a slice of the enterprise mobility pie, which is relatively less developed than its consumer counterpart.

The other reason why HTC’s in the news is OnLive. The cloud based gaming startup has undergone some significant restructuring and because of its investment in the company, HTC will be reporting a $40 million writedown this quarter.

HTC recently lowered its stake in Beats Audio, and has been making some significant moves to become one of the top smartphone device makers again. It was one of the earliest Android adopters, but has since been superseded by Samsung.

Also check out: What’s Wrong with HTC?

via Techcrunch

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