The idea has been floating around Asustek Chairman Johnny Shih's brain for a while and has been gaining momentum now that HTC's share price tanked this week.

HTC shares plunged 20 percent on Monday and Tuesday combined after the company forecast a steep loss for the June quarter which made it a more tempting take-over target.
Chief Financial Officer David Chang has confirmed Shih has chatted about the topic internally.

"Still, the chances of an actual takeover are not big as Asustek is a company that has depended on organic growth."

In otherwords it does not really like the idea of fast tracking its growth by buying companies which are not doing that well but are sitting on a ton of IP.