HTC Plans On Cutting Operating Expenses In Order To Become Profitable Again

The PC hardware market is not the only segment of the technology market that is going through a tough ordeal. Things are not going well in the mobile sector for a number of companies.

While Acer recently announced some radical changes, another Taiwanese company has also had it tough these past few quarters. HTC has been battling financial woes for a while now, as its share of the smartphone market continues shrinking.

Intense and sustained competition from Apple and Samsung is finally taking its toll.

Now HTC has revealed that revenues for the July to September quarter will in fact be 15 percent lower than the previous quarter. And for this reason, the company is looking to cut its operating expenses by 24 percent in the current quarters.

Details of how it plans to do that have not exactly been provided.

It can safely be said that the company has taken one misstep after another. There was a time when it was the biggest seller of Windows powered handsets — a position it conceded to Nokia. Now the company is sandwiched between decreasing Android sales and faltering Windows Phone market share.

With Nokia commanding a reported 90 percent share of the Windows Phone market, HTC has had to fight for the remaining crumbs alongside two other Windows Phone partners, Samsung and Huawei.

Surely not a good position to be in for a company that has created some remarkable devices.

  • Ray C

    HTC needs to streamline the company and make itself a competitor with Nokia for budget and mid-level Windows Phones. Maybe if they’d put a little more muscle behind the 8X they’d be sitting in a better position by now.