Should HTC Sell Its Mobile Division?

That HTC has seen better years is nothing new. The Taiwanese company that day was a pioneer in the segment Android It is at its lowest point and its market share has plummeted in recent years.

The picture is not exactly favourable and rumors of the possible sale of its mobile division have begun to emerge. Today the Chinese site MyDrivers claimed that the Taiwanese brand was looking for potential buyers for your business mobile, a rumor that the brand has been quick in deny of a brief and concise manner on Weibo. However, seeing HTC numbers what other exit is?

Although less, HTC is still registering losses

We’d like to say that recent HTC balances have been positive, but more than that we should say “less negative”. There were signs of improvement in the third quarter of the year with a the 4% increase in profits, the 700 million dollars.

However, the brand continues to generate losses, that during this period they were 63 million dollars. However, the numbers have greatly improved compared to the same period of 2015, when they recorded no less than 138 million dollars in losses, so this year there has been a 50% improvement.

HTC monthly income
Create line charts

If you look at the curve’s benefits in the last year, it is clearly visible as the peak which occurred November of 2015 is being replicated this year. However, despite the improvement still not enough and 2016 is again a black year for HTC.

HTC 10 nor the lives have managed the company lift head and, although they are still a known brand that enjoys some prestige, its role in the global market is becoming more irrelevant.

The graph above includes data ranging from late 2009 to the third quarter of 2016, and on it can be seen clearly as HTC has been diluted among the new proposals.

The company reached its highest point in the second quarter of 2011 with a market share of 10.7%, but the joy was short-lived and it was then when started its descent until late 2012 passed to form part of the group “Other” along with brands whose share is around 1 or 1.5%.

If HTC continues this trend, It is a matter of time until the inevitable happens and end up out of business of smartphones as read the rumor that we gave start to this article. They say that hope is the last thing you lose, but on HTC they need something more than that, they need a change in strategy.

Is there light at the end of the tunnel?

HTC Bolt

Last June, HTC decided to replace to the hitherto CEO Peter Chou by Cher Wang. It is true that little time has passed as to who the new CEO put into practice a new strategy, but at the moment changes, not only have not been otherwise you have seen more of the same.

The company seems committed in Repeat mistakes of the past, betting on high-end equipment and a range average interesting, but which fails to conquer the user looking for the so present at the current offer price.

In the first group have the recent HTC Bolt, a terminal with specifications aimed at the high end in some sections, but that remains far behind in aspects as its processor, Snapdragon 810 – an old chip that also received criticism for their problems of overheating – and especially price, $599.

HTC Desire 10 Pro

If we go to the middle range, recently HTC announced the HTC Desire 10 Pro and Desire 10 Lifestyle, two interesting proposals that again not surprised, either in features or in price, which is expected to ronde 300 euros for the most basic version.

HTC is still in the first division with its top of the range and the 10 HTC has received good reviews, but an undertaking may not improve at the expense of the flagship of turn and, although the HTC 11 is a revolution, we need more.

While in HTC continue to bet on a formula that clearly has not worked them, it is clear that the numbers won’t improve as if by magic. In this sense, We don’t know if HTC is considering selling its mobile division, but as they continue on the same path not it will have another outlet sale.

Potential buyers? For the moment there has been no movement by another company, but its recent collaboration in the manufacture of the Pixel It puts Google in this hypothetical list of candidates. Huawei is another of the brands most growing lately and there are other Chinese as Oppo and live (both owned by BBK Electronics) companies that have the resources to absorb a brand from the likes of HTC. Bets open.