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HTC profits decrease as smartphone competition stiffens

06 January, 2012 | Read the news | Post your comment
HTC profits decrease as smartphone competition stiffens  - read the full textEvery streak has its end and the HTC two-year streak of continuous growth came to an abrupt halt over the holiday season. The Taiwanese company posted net profit of $364.26 million, which is a 25.5% decrease compared to the same period of last year. And while the company already warned that it...

 

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So many people have hit the nail on the head, it's not about diversifying their OS, it's about not releasing so many similar handsets in a short space of time, and actually trying to make one or two handsets DESIRABLE..

Take a look at HTC's lineup for 2012...

Glacier, Ignite, Lead, Ville, Edge, Zeta...

They all virtually look the same...

Boring, grey, plain rectangular slabs...

Their 'super flagship' the Zeta looks like it was designed in 2010... it has sharp edges and doesn't look any different to a Desire, Sensation, Evolution..

They radically need a design overhaul...and fast.

  • Reply
  • 2012-01-09 17:50
  • GjjS

> In reply to sonceponce @ 2012-01-09 10:13 from MmUx - click to readI completely agree with you my friend. HTC should look into their aging devices as well.

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  • 2012-01-09 17:00
  • IaTG

I think HTC should think more about there older customers, here I think about desire and other older devices. I know it is hard to sell new phones if older gets update, but still. Problem is that owners of Desire or wildfire will probably choose other brand, cuz they are disapointed on HTC cuz of that. I am one of them.

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  • 2012-01-09 10:13
  • MmUx

first let htc update their old phones, they only update phones which are not a year old. now wonder people move on

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  • 2012-01-09 09:31
  • vG0p

> In reply to sense addict @ 2012-01-08 15:42 from tu6$ - click to readI do happen to kinda like sense. Lol. As far as company touches go

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  • 2012-01-09 05:03
  • eeRS

i agree with that. htc should produce less phone and focus on. but unfortunately, do you think android will happy? i mean, if htc produce less phones, android will lose some of the market share to others. of course android will force them (include samsung) to overproduce in order to gain market share. iphone different, it does not afraid ios because they are under the same company.
OK!!!! my opinion is that htc can try negotiate with the android. such as they wont use sense ui in other os beside android, then android will agree that htc may produce one smartphone every quarter etc.
I never use any smartphone now but i am attracted by htc sense combined with android. it so awesome. and i wish android wont be so bossy to combined with sense ui (another unique ui, unlike touchwiz, ios clone) and i cant wait the latest version of sense 4.0

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  • 2012-01-08 15:42
  • tu6$

just a thought, whether is this bec of marketing strategy and R&D

1. HTC produce "too" many products in one year, this confuse the buyers which models they should buy. For example, just filter on HTC in gsmarena, 2010 they have 19 models, 2011 they have 36 models (1 month 3 models?)
2. HTC plays in androids and WM..will they also play on other OS? For the same OS, HTC must compete with other vendors, while the specs more less similar, so this is to brand awareness of the buyer
3. Which segments are you aiming? low, mid, high? and is it by gender too? by age? or you want to grab all?

all i am saying, HTC maybe should focus on what they want..

just a comparison, apple produce 1 phone each year, apple has their own OS and shine in the crowds and with continuous iOS update. at least they are focus.

for those who disagree with me, yes, you have your own opinion and its ok. iphone is not the best phone in the market, some functions are not there, but....they are focus and they know what they want and they are going to that direction...the success story of apple, i have no doubt until today.


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  • 2012-01-08 02:10
  • KiVe

Ok some of you must not have heard of the amaze. It's definitely one of the best phones out right now

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  • 2012-01-07 15:34
  • Q%Kc

NTL guy..shut your trap. You dont know what you talking about.
Nothin wrong with windows phone. Good they keeping their options open. Bringing some innovation and versatility to the table. Obiviously profits will drop at the begining of the quarter with so much competition and cheap pay and go handsets from samsung, nokia and budget curves!
Free bootloader...hell yeah

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  • 2012-01-07 14:56
  • 3AxW

HTC....What Can I say? Instead of myriad phones that the company launches every month with minor tweaking of H/W...you should come out with One Product that can make the competition sweat in their boots.
& you have the resources as you have proved in the past coz HTC is known for premium materials....& then see a trend that will reverse the fortune buckets!

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  • 2012-01-07 13:39
  • P$uD

> In reply to Ak92774 @ 2012-01-07 04:23 from 7j{h - click to readI agree with you. Samsung & HTC both companies are manufacturing sets almost same design & shape in order to keep their customer's attraction towards them. Basically i hate those round shape phones. Only Nokia and SE inrtoducing new innovative desing to their customer.
I believe HTS started rising during the mid of 2010 and due to their boring shapes phone people already looses their interest on them. As result we found that HTS has delcared their 2011 last quarter profit lower than 3rd quarter. Same thing could happen to Samsung if they keep producing old shapes phone in future again and again.
Though both of the companies are manufacturing Smartphones powered by the best and updating processor and Ram, but still pepole wants few innovative desgin and shapes as well as performance. Nokia N9 and Samsung ARC is example of those.

Regards
Ananda

  • Reply
  • 2012-01-07 12:27
  • Px2S

> In reply to Ak92774 @ 2012-01-07 04:23 from 7j{h - click to readThey could definitely come out with something a little prettier....but it is their design so it is original as they are the first to have it and because of how epic the phones are people will still get them. Other phones of theirs that are not the most advanced do have some different designs and looks.

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  • 2012-01-07 09:03
  • eex4

stop making Windows phones & try to change the shape of the phones bit.....U will make profits then....

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  • 2012-01-07 07:58
  • IWSj

In another 4 months people will get bored of samsung's crappy designs and move to other company. Galaxy ace s1 s2 etc etc all look same. Only companies to produce good quality and designe phones are Sony and Nokia.

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  • 2012-01-07 04:23
  • 7j{h

It`s a great " War " , and we will see what will happened . But for users the best is to have latest technology :) For the companies the best is profit ... and i don`t meant that anyone must be a " slave " to a trademark ;)

So , all users must have a nice and surprisingly better year , which will cost companies money ...

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  • 2012-01-06 21:40
  • gy%Y

"pressure from Samsung and Apple quoted as the main culprit." meaning all the constant legal battles with Apple are sucking up the profits.

I think it's funny why Apple keeps hounding HTC, while largely ignoring every other Android manufacturer. Why don't they go after Sony for example? Oh right, because they actually have deep enough pockets to take Apple to town!

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  • 2012-01-06 21:33
  • qbbH

This is happend because HTC is very late to improve there phones, HTC improved thier display quilaty, camera quality als front faceing camera comes very late in HTC phone builtin memroy you can find more high in low end mobile.Prices are too high. but HTC is a big company i dont know how they have stupied workes and deccision maker.

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  • 2012-01-06 18:26
  • AL8R

it is not shicking the phones of htc were lacking in memory and not able to give a first look impression to people and looks were also not to good

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  • 2012-01-06 17:55
  • 9xGu

im not suprised the htc phones released this year were nearly all stuck with 1gb of inbuilt and also their looks were also not too good

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  • 2012-01-06 17:42
  • 9xGu

People seem a bit obsessed with flagship phones. People blogging here are phone tech fans and will buy top end phones. Performance is really about the whole range offered.
My main disappointments are that HTC used to lead the market with packing functionality into a small device like the Dopod 810 and TD2. Now they have almost given up on competing with compact technology. How can they go head to head with Samsung’s larger phones with the bulky and slower interface. Why cover up Froyo and Ice Cream UIs anyway. Users want freedom to express themselves in their self configured UI.

  • Reply
  • 2012-01-06 17:28
  • vxKC

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