HTC, Tough Short Term Times, To Make A Big Comeback At MWC
Until near the end of 2011, HTC was one of the best selling companies on the smartphone market. After that, something broke in the system and now the company sees itself in a bit of trouble. According to company officials, the rough period isn’t over yet and they’ll see a downfall on short term, seeing their revenues decrease even more. They had very low profit, even worse, lower than expected and that is because the lack of innovation.
This problem makes the investors fear the way things will go in 2012 and after and could be an issue on long term. In the 1st quarter of 2011 the company saw a 36% decline in profit dropping from T$101 billion recorded the previous quarter. The company seems optimistic on long term and said that these problems will be fixed shortly. Well, the problem remains that the company will launch new devices late in the 1st quarter of 2012 and the old devices don’t sell very well. This is not much of a surprise since all smartphone companies bring something new to the market as fast as they have it, and HTC failed to do that in this period. The company is expected to make a nice comeback at and after the MWC this month.
Source: phonearena.com
