HTC may have produced some of the most noteworthy and underrated smartphones, but analysts thought that it is difficult to rely on good aesthetics alone. What HTC did wrong, according to them, was a failed marketing strategy where giants Apple and Samsung excelled at. In its recent quarterly reports, HTC's revenue kept on dipping with no signs of making profit in the next quarter.
According to analysts, there is only one way for the deteriorating company to salvage itself - a merge.
Most analysts entertained the thought of HTC being bought or absorbed by another tech firm with a significant hold of the global smartphone market already. According to JP Morgan Securities Ltd, the struggling Chinese phone manufacturer should consider merging with Huawei. Other observers thought that Lenovo was another choice.
The Chinese smartphone market is among the largest in the world. A partnership between HTC and another Chinese company could be that saving grace, according to financial analysts. Research said that almost 50% of Chinese urban residents own smartphones. The study also said that the market is ripe with advertising opportunities, with 98% of its users constantly using the phones for products and services.
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