HTC stops several projects planned for next year
According to a new report in DigiTimes, HTC have decided to narrow their product scope, cancelling several of their projects for new handsets that were expected to come out next year. As stated, the company will focus on fewer products, instead. This may well be considered a wise move. Bad news however is that this will lead (has actually already lead) to also reducing components orders.
So, HTC will be selling fewer phones in the coming 2013. Shipments for Q1 were cut to only 10-15% higher than Q4 of 2012, which is twice less than the previously planned. And that seems not fantastic, considering the Chinese New Year coming in February!
The Chinese are however known as customers of non-expensive phones, and perhaps this is one of the reasons behind HTC’s decision. As DigiTimes states, HTC is now competing in the sub 2,000 RMB ($320) market, not because they want to, but because they have to, in order to survive.