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HTC’s spark won’t be reignited by Windows Phone 8

by Mark Tyson on 9 September 2012, 20:02

Tags: HTC (TPE:2498), Google (NASDAQ:GOOG), Windows Phone

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Morgan Stanley have poo pooed HTC's aspirations to boost its smartphone sales with the launch of new handsets sporting the Windows Phone 8 operating system. On Friday Jason Mackenzie, HTC's president of sales and marketing, spoke to Reuters and said “Our plan is to go big on Windows 8”. However in tomorrow’s Taipei Times Jasmine Lu of Morgan Stanley says that “…we think it will be difficult for HTC to regain share quickly aided by Windows 8-based smartphones, given less differentiation, except pricing.”

Taiwan based HTC currently makes most of its money from Android based handsets, though it has dabbled in Windows Phone before. HTC’s Jason Mackenzie said that other smartphone makers who also produce Android devices “haven't typically given their A plus designs to Windows phones.” He explained that “They've been designating those to Android”. However he added cautiously, that while seeking a more balanced portfolio of Android and WP8 devices the company would not “dial back on Android”.

HTC really does need to do something to pick itself up as evidenced by the Q2 results showing profits falling by more than half and a Q3 projection of a decline in revenue by about 23 per cent. Mr Mackenzie said to Reuters that, in his opinion, the solution is being “more bold”.

Jasmine Lu of Morgan Stanley, Hong Kong, seems to agree that HTC need to be more bold because at present the only way she sees that it can successfully differentiate is through pricing. In a research note she said “In terms of hardware specifications, we think it will be difficult for HTC to regain share quickly aided by Windows 8-based smartphones given less differentiation except pricing. We think the winning formula has shifted from technology to scale, marketing and branding” according to the Taipei Times.

Looking at projections for 2013 and how the smartphone market will be change, market analysts Gartner forecasts that the Android OS will slide from 60.3 to 57.9 per cent, iOS will increase from 22 to 23.1 per cent and Windows Phone sales will more than double from 3.9 to 10.4 per cent.

Are the first set of HTC Windows Phone 8 devices, pictured above, bold enough? If not they'll just have to be cheaper!



HEXUS Forums :: 17 Comments

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what htc need more than anything else is some quality control paricularly with regard to the software side of things,less quantity, more quality. my last3phones are desire, desire z and sensation, but my next phone will not be an htc.
geoffmail500
what htc need more than anything else is some quality control paricularly with regard to the software side of things,less quantity, more quality. my last3phones are desire, desire z and sensation, but my next phone will not be an htc.

100% agree with you
Ever since the Sense 3.0 update on my Desire HD, it's been slower and buggier than ever.
And with the last minute cancellation of ICS, there is now way I'm forgiving them.
I agree. My HTC is really slow and a lot more buggy than it was when I got it. My next phone won't be HTC either.
I have had a lot of issues with my sensation also, as well as with my Desire HD before. My next phone is also not going to be a HTC!
With Windows Phone 7.5 at least, manufacturers can't make the os buggy meaning that every single Windows Phone operates the same - without crashing and locking up.

I assume Windows Phone 8.0 will be the same which means people only have to worry about HTC hardware.