Car parts giant Aurora Health said on Wednesday it was to be bought by Google for $5.2 billion.
The deal is subject to regulatory approvals.
Google has been under pressure to overhaul its business and boost its competitiveness in the global auto market.
It had to close hundreds of factories and cut 1,500 jobs last year as part of a sweeping restructuring of its business.
It said it would cut its workforce by around 4,000 workers.
It also said it planned to make its cars, parts and services in China, which has become the world’s largest auto market and where it said it was the largest car parts company.
In a statement on Wednesday, Google said it expected the deal to close in the first half of 2018.