HTC Not to Step Foot on Low-End Phone Terrain

It is definitely a rough time for phone manufacturers as competition is getting manifold every day. Even at the time of this crisis, HTC has decided to remain in the premium-class phone business while almost all other manufacturers have moved on to low-end phone business also. HTC CEO Peter Chou stated that they won’t be moving their attention from high end phones.

The logic HTC is trying to implement here is that low-end phones would spoil HTC’s image as a pioneer in powerful and premium devices. According to Chou, shipments toChinawill be around 3 times compared to those of 2011.

The company is also seeing a modest growth in shipments to emerging markets, including India and other Asian countries. HTC has cut its second-quarter revenue target by 13% afterU.S.and European sales failed to meet expected targets.

HTC also suffered a major blast after Microsoft reportedly pulled out the company from the ‘Windows RT loop’. As per the reports from Microsoft, HTC was inexperienced in tablet building. Meanwhile some accused that Microsoft was playing its monopoly.

Chou added that HTC would like to buy small software and marketing companies, explaining that there are no imminent deals. With new companies popping up, HTC should revise the concepts they want to hold on to as it might prove to be very costly.

In Q3 2011, HTC Corporation became the largest smartphone vendor in theU.S.by 24%, ahead of Samsung’s 21%, Apple Inc.’s 20% and BlackBerry’s 9%. With the latest announcement, it is difficult to say whether HTC will be bringing back the glory or not.

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