This blog post is in response to Candace Formosa’s “HTC The Next Blackberry?” – https://blogs.ubc.ca/candaceformosa/2013/10/06/htc/
Like Blackberry was once a top smartphone maker, HTC at one point was the top android phone maker (Q3, 2011), and it was at the time the largest smartphone maker in the world with 24% market share. But with lack of marketing to strengthen its brand name, its sales have since declined.
For the first time, they are experience a quarterly loss of $101 million, while Samsung enjoyed better than expected earnings, and Apple enjoyed excellent 5s sales.
Candace mentioned that HTC products lack quality and innovation, and was two of the main reasons that HTC had failed, but I think that is not the case. HTC had many quality products, and since mid 2012, there were not too many innovations in smartphones industry besides upgrading the specs of the phone. But I do agree with her point that HTC didn’t build up a strong name and a loyal customer base. It lacks good customer relationship and lost many customers to their competitors. I also agree on the fact the Candace said their supply chain was an issue, where like Blackberry, rolled out their flagship device after Samsung and Apple released theirs, and that cost them (Both Blackberry and HTC) a huge number of potential customers.
Other phone makers who have ever suffered a loss all either sold off their handset business, or were out of the phone business completely, like Motorola, Nokia, and now potentially Blackberry. So if HTC wants to turn the table around, they have a lot of work to do.
