HTC is reportedly developing its own mobile processors in a deal with ST-Ericsson which may be equipped in their lower-end smartphones.
Unwired View reports that its new chip could ship in 2013. HTC joins the likes of Apple and Samsung, companies that develop their own chips for many of their devices.
The memorandum of co-operation with ST-Ericsson to co-develop these chips could see HTC reduce the costs of developing chips for its phones, which would help it develop its budget range of devices.
Driving down costs will also be hugely important to HTC as it tries to turn things around after seeing slower sales in recent quarters.
The development of its own chips could also see HTC decrease its dependence on chipmaker Qualcomm, which recently announced it could be facing a shortage in mobile processors. HTC has also used NVIDIA chips in the past.