When the Essential Phone was unveiled almost a year ago, it showed some pretty spectacular specs. Not only that, the man behind the startup company, Andy Rubin, is one of the guys who created Android.
This increased the public’s interest for the Essential Phone, especially the die-hard Android and tech enthusiasts. Some were even looking forward to the next device, a potentially “game-changing” device called the Essential Phone 2. If this is something you are holding out for, you may be in for some disappointment with today’s news.
Earlier today, Bloomberg reported that development plans for the Essential Phone 2 has been cancelled. In addition to this, the report shows that the startup is considering selling off the entire business. The company reportedly hired Credit Suisse Group AG to spearhead giving advise on a potential sail. Bloomberg‘s report showed that there is at least one business showing interest in buying the business.
The decision to sell the company, as a whole, shows that Essential still has a pretty promising future ahead of it. Instead of selling off its assets apiece, the sale of the company will reportedly include its engineering talent, products, and patents. Rubin’s recent tweet has some connection with this decision.
Rubin declined the report that the business is shutting down. He also complained about the article by Bloomberg.
Last year, Essential was able to raise funds of around $ 300 million from its investors. The list of investors included companies like Amazon, Foxconn, and Tencent. From this funding, the company was able to spend over $ 100 million to develop its first products. Meanwhile, approximately a third of its funding went to building the company.
Considering Essential has not yet made a comment about the future of the company, there’s still no final decision about a potential sale. A Credit Suisse spokesman decline to leave a comment as well. If all goes well, however, the sale of the business could be anywhere between $ 900 million and $ 1 billion since this was the estimated value of the company last summer.
Source: Bloomberg, BGR