Sony Ericsson has yet to make this public, but we've learned that the flagging handset maker has caved once more to the pressures of the modern phone market place. If you'll recall, 450 employees were nixed from the company's payrolls in September of last year, and now the entire Research Triangle Park facility is being shuttered. In an internal announcement made this morning, SE is fixing to close four total sites: RTP in North Carolina, a smaller Miami facility and operations in Kista (Sweden) and Chennai. All told, 2,000 employees will be trimmed, with severance packages being offered to those who qualify. As of now, the departing individuals have yet to be chosen, with employees in RTP given the opportunity to apply for jobs elsewhere (likely in Atlanta or California). We're told that the cuts will happen "in stages," with project teams being assembled as we speak to work out the logistics. Frankly, we aren't as shocked as we are saddened to hear the news -- SE has refused to keep pace with the other handset makers, and its decision to wait until next year to ship an Android device is indicative of the choices that have kept it in the shadows these past few years. Here's hoping this restructuring effort actually gets things headed in the right direction.
http://www.engadget.com/2009/11/18/sony-ericsson-closing-four-facilities-laying-off-2-000-employee/
http://www.telegraph.co.uk/technolo...sive-Google-Nexus-One-to-launch-in-April.html
Google’s Nexus One, the company’s first own-brand mobile phone, will launch in the UK in April. It will be on sale through Google.com/phone only, as the company has previously announced. Tariffs have not been announced, but the Nexus One is likely to be priced very similarly to comparable smartphones such as the iPhone.
Built by HTC, the Nexus One is Google’s attempt to assert the superiority of its mobile operating system Android, in the face of market dominance from Apple’s iPhone and Microsoft’s reinvigorated mobile software, Windows Phone.
Although the search giant’s first official UK partner, Vodafone, had been keen for a launch in March, sources close to both companies have confirmed to The Daily Telegraph that April is when the company will have a realistic chance of being ready for the launch.
The Nexus One is unusual because it is available online only direct from Google, and so relies heavily on word of moth marketing. Although sales had initially been reported as slow in comparison to the iPhone, the Nexus One has not benefited from the significant promotion that Apple has bought for its flagship product.
Google issued an update to the phone, shortly after its American launch in January, which added the multitouch web browsing that has been so successful on Apple’s iPhone.
Both Google and Vodafone would only say that they were committed to delivering the phone to the UK “in the spring”.
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The Nexus One is unusual because it is available online only direct from Google, and so relies heavily on word of moth marketing.
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No wonder sales have been lower than expected. Never rely on an insect to pass on information!
http://mobile.theverge.com/2013/7/30/4570490/htc-q3-2013-guidance-first-loss-on-record
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such threads are not needed, we have been seeing them for years now
besides the verge always adds drama on top here is the proper press release
http://www.htc.com/www/about/newsroom/2013/2013-07-30-htc-reports-2013-second-quarter-results/
Taipei, Taiwan – July 30, 2013 – HTC Corporation (the Company, TWSE: 2498), a global leader in mobile innovation and design, today announced consolidated results for the Company and its subsidiaries for the second quarter of 2013.
2Q 2013 Results
HTC posted quarterly revenue of NT$70.7 billion, with gross margin of 23.2 % and operating margin of 1.5%. Net profit and EPS were NT$1.25 billion and NT$1.50, respectively.
“My leadership team continues to focus on execution,” said Peter Chou, CEO of HTC. “We are seeing expected results as we fill the channels and meet demand for the new HTC One. As we broaden our focus to include a new member of the HTC One family, the recently announced One mini, we are looking forward to delivering great products and results in 2H.”
HTC announced key appointments, including Jack Yang to president of South Asia, Sirpa Ikola to senior director of marketing for South Asia, and Lorain Wong to vice president of global PR.
As manufacturing ramped up, the US saw sequential growth in 2Q, as well as expansion in retail channels. EMEA saw renewed strength in major Western European markets and emerging countries.
Progress was observed across Asia. HTC gained market share in Taiwan, showing an improved presence in Hong Kong and warm reception of its products by consumers in Japan. In China, sales of HTC’s high-end models improved, while competition at the mid-tier and affordable intensified. In South Asia, the improvement of key operator relationships provides optimism about the region.
3Q 2013 Outlook
The Company’s outlook for the second quarter of 2013 is as follows:
- 3Q revenue is expected to be in the range of NT$50bn to NT$60bn
- Gross profit margin is expected to be in the range of 18% to 21%
- Operating margin is expected to be in the range of 0% to -8%
The new HTC One has performed well in the market, better than that of our hero products for the same period last year. We aim to extend the momentum as we enter into the second half of 2013. The new HTC One has also helped the company establish strong brand awareness and received numerous accolades as the world’s best smart phone. With the help of HTC One, we have regained superphone market share across major markets including China.
We also have plans underway to launch a range of innovative and competitive mid-tier products in the coming months. We hope to regain momentum and market share in these segments in Q4. This will address our challenge of mid-tier products competiveness
Our overall gross margin has been impacted by the relatively higher cost structure, lack of economy of scale and certain provisions needed to facilitate the clearance of aging products in the channel. Actions have been taken and we expect to see improvement in Q4
We are also optimizing our organization, including the improvement of management efficiency and effectiveness.
People, innovations, and technology are the core assets of HTC. We will continue to invest in innovations and technology, as well as retaining and rewarding our best talents. We look forward to a brighter future for HTC and continue to delight our customers with the best and most exciting products
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you can see clearly that they state, the One is getting them more revenue then last year flagships, but they fall short on the low end side of sales, also they have extra expenses for this quarter causing the predicted loss waste of profit
- 3Q revenue is expected to be in the range of NT$50bn to NT$60bn
- Gross profit margin is expected to be in the range of 18% to 21%
- Operating margin is expected to be in the range of 0% to -8%
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That's a pretty optimistic viewpoint you posted @hamdir. Almost makes it seem like HTC has turned the corner and poised for a rebound (which we all know is far from the truth). Here's Reuters not so optimistic perspective.
http://www.reuters.com/article/2013/07/30/us-htc-guidance-idUSBRE96T0B920130730
jlevy73 said:
That's a pretty optimistic viewpoint you posted @hamdir. Almost makes it seem like HTC has turned the corner and poised for a rebound (which we all know is far from the truth). Here's Reuters not so optimistic perspective.
http://www.reuters.com/article/2013/07/30/us-htc-guidance-idUSBRE96T0B920130730
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what view? i posted HTC's own press release, they explain pretty clearly that their old inventory and lack of mid / low range competition will cause the predict lack of gross margins, tons of positive in the press release as well such as the HTC One performance and their improvements in Asian markets
meanwhile HTC is hard at work for the next flagship while you guys are busy with their profit or losses
does anyone still follows how much Nokia or Sony are loosing? or when they rebound?
Financial up and downs is normal for any company in my opinion and as far as im concerned it's non of my business, i have an amazing smartphone thanks to them and i don't need to contemplate their finance
here is something interesting from your own link
"Even a hero product can't save them," he said, adding that a partnership with another firm - a possibility CEO Peter Chou has said he would look at - was one of the few strong options open to HTC.
Although HTC is expected to soon launch the HTC One Mini, Samsung and Apple are also likely to announce their own new offerings later this year. A planned marketing blitz, which includes enlisting Robert Downey Jr. for a reported $12 million to star in its ad campaigns, is expected to weigh on profit margins.
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---------- Post added at 02:59 PM ---------- Previous post was at 02:45 PM ----------
more details here
http://focustaiwan.tw/search/201307300029.aspx?q=htc
HTC said its overall gross margin has been impacted by the relatively higher cost structure, lack of economy of scale and certain provisions needed to facilitate the clearance of aging products in the channel.
Peter Chou, chief executive officer of HTC, said the company is taking action to reduce the cost of some key components used in its products, such as displays and mechanical parts, and that the improvements will be apparent in the fourth quarter.
In addition, HTC plans to launch a new range of mid-tier phones in the late third quarter or early fourth quarter to increase its economy of scale and leverage its product portfolio, Chou said.
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"We are bearish on the company in the longer term as it continues to struggle in the premium smartphone segment despite having a good product, while it remains uncompetitive in the low-end segment," Cheng said, who set a price target of NT$145 on the stock.
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Sony and HTC merge and we're gonna have a good time.
I Am Marino said:
Sony and HTC merge and we're gonna have a good time.
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My dream
It's alot of over analyzing but it sure makes me worry. They can't even seem to pump put timely updates at this point... Even to their developer and GE editions. Can't blame the carriers holding up the updates on those...
Sent from my HTC One using xda premium
hamdir said:
Meanwhile HTC is hard at work for the next flagship while you guys are busy wit their profit or losses
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There's nothing in anything that's been posted that's even remotely uplifting regarding HTC's future.
The One's without question the best phone HTC's ever made yet revenue, profit, and market share are down.
Their guidance for Q3 is projected to be down 30% YOY and Q3 includes their projected revenue for the Mini, Max, and any other devices launching during the quarter.
HTC's cost base is f'd because of their loss of scale. They weren't a "tier one" supplier even with the One's idealistic sales goals which means they pay more than their competitors for the same components and aren't given preference when parts are in scarce supply.
Samsung's monolithic and LG/Sony have deep pocketed parent companies with diverse product lines. Motorola's owned by Google. HTC's too small to compete with those companies as well as the Chinese with their low cost base and priority in the Chinese market.
For the eighth quarter in a row we've discussed HTC's "come back" and for the eighth quarter they've posted continually crappy results with their forward guidance showing no relief. The HTC brand may continue through an acquisition but the company itself is pretty much dead. And that's not my opinion, it's the analyst's which, after these results, all have "sell" ratings on the stock.
hamdir said:
such threads are not needed, we have been seeing them for years now
besides the verge always adds drama on top here is the proper press release
http://www.htc.com/www/about/newsroom/2013/2013-07-30-htc-reports-2013-second-quarter-results/
you can see clearly that they state, the One is getting them more revenue then last year flagships, but they fall short on the low end side of sales, also they have extra expenses for this quarter causing the predicted loss waste of profit
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Than.
Sent from my Nexus 4 using xda premium
HTC is definitely in trouble. The One is an insanely great device and yet they just had their worst quarter. That sounds pretty bad. And again, with the 5s, budget iphone, note 3 and others I don't know how htc can turn this around.
Like Barry said htc is too small of a company at the end of the day. Sony, apple, LG, Samsung are huge companies that have more resources and you need deep pockets to compete. A merge with another company is almost certain at this point.
Sent from my SAMSUNG-SGH-I337 using Tapatalk 2
Not to be redundant, but this one from Engadget has a positive tone to it.
HTC: the One is selling better than last year's hero products, but next quarter may see a loss
the previous Q2 profit results were good (reported last month)
and these are Q3 projections, considering the stated reasons
i never discussed a come back, all i said companies for a long time can survive with such up and down, we have tons of examples
come to think of it, Asus and HTC merge makes perfect Sense
Same country, Asus sucks in branding and worldwide distribution of it's products, their smartphone side isn't doing so great but they rock in pc and tablets, while HTC is specializes in smartphones exclusively
Asus only sucks in availability of their mobile stuff though. All their PC parts are available every part of the world. If they applied the same resources with the same enthusiasm + a HTC merger, it would be awesomely awesome beyond awesomeness.
hamdir said:
the previous Q2 profit results were good (reported last month)
and these are Q3 projections, considering the stated reasons
i never discussed a come back, all i said companies for a long time can survive with such up and down, we have tons of examples
come to think of it, Asus and HTC merge makes perfect Sense
Same country, Asus sucks in branding and worldwide distribution of it's products, their smartphone side isn't doing so great but they rock in pc and tablets, while HTC is specializes in smartphones exclusively
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Q2 was awful compared to last year's Q2 which is the most relevant comparison. Q-2-Q comparisons don't take in to account seasonality and other trends. And aging inventory is corporate speak for we overestimated demand and/or the competition is eating our lunch. Microsoft writing down $1B because of the Surface's lackluster sales is a good example. What's going to change for HTC? The One's not helping much and the Max and Mini launch is factored in to their Q3 quidance which projects a loss. Their previous focus on the high-end has made them a late comer in emerging markets. Even there their lack of scale makes an identically spec'd HTC phone more expensive to build than their competitors phones. So the high-end (the One) didn't save them and with limited distribution, higher component prices, and no brand loyalty in the price-focused lower tiers it's hard to envision them making much headway there. All the drivel about a bright future is coming from Peter Chou who's decisions and direction got HTC in to the mess they are currently in. His words kind of remind me of "I'll gladly pay you tomorrow for two hamburgers today." And the impact of their financial condition is already being felt by their customers; ask a One S owner.
HTC would survive just like BlackBerry. Would take a very long time to get back on track. I hope mini and ultra boost up their prifits
Sent from my HTC One using XDA Premium HD app
Will be rooting for this underdog!
Sent from my HTC One using xda premium
BarryH_GEG said:
Q2 was awful compared to last year's Q2 which is the most relevant comparison. Q-2-Q comparisons don't take in to account seasonality and other trends. And aging inventory is corporate speak for we overestimated demand and/or the competition is eating our lunch. Microsoft writing down $1B because of the Surface's lackluster sales is a good example. What's going to change for HTC? The One's not helping much and the Max and Mini launch is factored in to their Q3 quidance which projects a loss. Their previous focus on the high-end has made them a late comer in emerging markets. Even there their lack of scale makes an identically spec'd HTC phone more expensive to build than their competitors phones. So the high-end (the One) didn't save them and with limited distribution, higher component prices, and no brand loyalty in the price-focused lower tiers it's hard to envision them making much headway there. All the drivel about a bright future is coming from Peter Chou who's decisions and direction got HTC in to the mess they are currently in. His words kind of remind me of "I'll gladly pay you tomorrow for two hamburgers today." And the impact of their financial condition is already being felt by their customers; ask a One S owner.
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mateeeeeee the One S is well documented already, the reason for the update drop is that Qualcomm stopped supporting snapdragon 3 and hence didn't provide the drivers for 4.2.2
the One S s4 will most likely receive it, as football said the work restarted on the OTA
also this story was confirmed by shen
I'm done here, it was my mistake to enter the financial discussions again
peace
Blackberry would be the one to fall before HTC. HTC, will come back around..
Sammy and Apple love the attention. Ads Ads Ads Ads. It sinks into peoples heads, that these phones are the latest a and greatest that other phones are garbage to them. All in marketing control.. That's why you see more 15 yr old girls with iPhone more and more everyday. Its all about how you advertise. More advertisement the more you will get out of it. $$$
Sent from my HTC One using Tapatalk 2
Trouble Trouble
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I came upon this article about samsung's profit estimates for Q3 and one part caught my eye (it would be fantastic if it was true)
http://www.businessweek.com/news/20...beats-estimates-on-cheaper-galaxy-smartphones
Galaxy Gear
Samsung may have sold 3 million of its Note 3 devices since the Sept. 25 release. The device, with a 5.7-inch screen, is a combination phone and tablet computer that touts improved software and performance compared with the previous model.
“The mobile rivalry will only intensify in the fourth quarter from the third, when Samsung had no strong competitor to fight against,” Byun said. “Depending on how well the Note 3 device will sell, that would determine not only its smartphone but its chip earnings in the fourth quarter as well.”
On the same day, the South Korean company also started selling the Galaxy Gear, a wristwatch device that can make phone calls, check e-mails and take photos. The smartwatch, priced at $299, competes with a similar device from Sony Corp. as electronics makers race to carve a share of the market for wearable technology.
That is not bad considering its a different target market and they didn't launch in as many countries on the 25th as say another company.
RaptorMD said:
That is not bad considering its a different target market and they didn't launch in as many countries on the 25th as say another company.
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Just launched yesterday (3rd October) in Western Australia.
Don't forgot that "Sold" means Samsung sold that many to retail outlets, not to end users.
designgears said:
Don't forgot that "Sold" means Samsung sold that many to retail outlets, not to end users.
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Just like Apple sells to carriers
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skivnit said:
Just like Apple sells to carriers
Sent from my GT-N7100 using XDA Premium 4 mobile app
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Ya, but I can't find an iPhone to save my life, I bet I can go to any AT&T Store or Best Buy store and pick up a GNote3 tomorrow.
According to the latest research from Counterpoint Research’s Market Monitor service for Q3 2015 (July-Sept) the US smartphones market grew a healthy 9% Y/Y, though slightly slower than the Q2 2015 uptick. The majority of growth was driven by challenger brands such as ZTE, LG, Blu, Asus and other smaller players, all registering double digit volume growth.
ZTE is the fastest growing major smartphone OEM as its volumes grew 45% YoY, capturing an 8% share and the fourth spot, behind LG. The Chinese vendor had particular success within AT&T and Sprint channels. This may pave the way for other Chinese OEMs to both increase volumes and climb to higher price points. Xiaomi’s recent licensing agreement with Qualcomm may help with sell-in attempts with US carriers.
LG recorded its highest ever market share in smartphones to 15% from 9% some eight quarters ago. The demand for LG’s smartphones have increased across all carriers cementing its position in important US market.
With the rise of equipment installment plans (EIP) and leasing programs, we are seeing dramatic shifts in how consumers are perceiving the unbundled device costs aided by carriers now welcoming Bring-Your-Own-Device (BYOD) type consumers. This is an important trend that is driving the demand for open, SIM-free, or unlocked devices. As a result we are seeing the rise of players such as Blu, Asus and other microvendors such as OnePlus and Oppo.
In the overall mobile phones market, Alcatel One Touch more than doubled its volumes and share Y/Y as it continued to fill the gaps left by Samsung, LG and others’ shift away from feature phones. Alcatel was the fifth largest mobile phone brand during the quarter. However, Alcatel needs to ramp up its smartphone efforts with multiple design wins in the upcoming quarter to surpass ZTE as the fourth largest brand overall.
Apple remains the top selling vendor in all four of the top tier US carriers. Apple, and to a lesser extent, other smartphone flagships, have benefited from equipment installment plans and leasing programs. Apple has seen larger year-over-year growth in T-Mobile & Sprint—carriers who have been very aggressive with EIP & leasing programs. These programs may help increase upgrade rates which have been trending lower in recent quarters.
Samsung’s performance remains strong at Verizon & T-Mobile where the Galaxy S6 series has been a good but not exceptional performer. A lot hinges on Samsung’s Note 5 and broadening of its mid-tier portfolio with the Galaxy A & J series, to win back some share from Apple, ZTE, LG and Alcatel.
T-Mobile continues to sell more smartphones than AT&T or Sprint and is the second largest smartphone channel, thanks to its aggressive offerings and pricing under its “Uncarrier” initiatives. T-Mobile is now one of the key channels for new brands looking to enter the US market through a carrier partnership route.
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Source: http://www.counterpointresearch.com/3q2015usa
Cool to read as an Idol 3 owner. That phone accounted for the majority of the YoY sales increase I would guess.
I guess growing from nothing is always more impressive. According to that article only T-Com sells Alcatel phones in the US and I see lots of complaints from US customers on XDA and Facebook (on Alcatel's page).
IMHO at this spring Alcatel must to prove us that they are not just an other Chinese junk company and they care their devices. At first it would be nice if they update their phones globally with the same version numbers and the same versions should have the same features. Next step is update Idol 3 to 5.1 or 6.0.1. At this moment I doubt we'll get any of these.