HTC falling behind in smartphone race

Eric Bianchi
November 25, 2011
2 Comments

HTC faltersHTC, one of the world’s largest smartphone manufacturers is facing an uncertain future in the face of increased competition. The company has warned that revenue growth will be non-existent in the current quarter after it was previously reported it would grow by 20-30%. A statement from the company read: “Due to global macroeconomic downturn and market competition, the assumptions of 2011 Q4 financial forecast provided earlier are no longer applicable.”

Analysts have flocked to their soap-boxes to comment on the move, with Vincent Chen, of Yuanta, chanting: “In terms of content, HTC is incomparable to Apple; in terms of performance and price, HTC is also no better than Samsung.”

The company’s phones have seen disappointing sales in the US after launching high-end devices there and many have warned that the firm could go the same was as Nokia if it isn’t careful. It’s hardly much of a surprise this is taking place as the marketplace continues to be gobbled up by Apple and Samsung. The release of the iPhone 4S sent prices tumbling on previous models and meant more customers had access to an iPhone of some description. Samsung’s Galaxy S II is already offered on a cheap basis and looks like the choice for those embarking on an Apple boycott.

This news will come as a blow to Google’s Android OS thanks to HTC being one of its main device providers. It does go to show just how much of a stranglehold Apple has on the device side of the market with Samsung likely to be the only company to mount a real challenge. Many in the gaming industry continue to optimize their content for Apple devices before anything else and waiting to develop an app for the Apple App Store seems worth it when you hear news like this.

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Tags: Apple, Article, htc, samsung, Smartphone
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