HTC has been one of the biggest brands when it comes to the world of smartphone technology. However, over the years the company has been going through some hard times. HTC tried to expand into other verticals such as AR and VR with the HTC Vive but nothing could stop their sinking sales of the smartphone division. Recent revenue reports have stated that HTC’s revenues are their lowest of 13 years.
In December, HTC’s monthly revenue was that of only $136 Million. This is 29% worse compared to November and a 36% drop compared to December 2016. HTC has tried pulling all the stops to ensure that their smartphones do well. The recent launch of the HTC U11+ was expected to help the company make some profits. However, nothing worked out for them as revenues kept falling, reaching a 13 year low.
Late last year, the company signed a deal with Google where they will be selling off their Pixel division – as well as some Intellectual Property off to Google. This deal was approved last year and is all set to complete in 2018 – where HTC would be getting $1.1 Billion in return.
It wasn’t just this past month but the entire year in itself which was a nightmare for HTC. The company’s revenue reached NTD 64 Billion – which is equal to $2.1 Billion. This 13 year low can be attributed to poor sales and horrible pricing decisions as the company refused to enter competitive priced markets and continued releasing phones priced a little higher than the going rate.
The failure of HTC U11+ too adds on to the company’s woes. Reportedly, this was the phone that Google had originally planned to release as ‘Muskie’ – the original Pixel 2 XL before LG came in with their version of the phone which later actually became the Pixel 2 XL. The difference a brand can make!