Published on November 15th, 2012 | by Olukunle Moses2
Allies helps HTC defeat Apple in China
HTC Corp is a Taiwanese phone maker, and has entered into the smartphone industry early, it has once ruled the mobile industry with Research in Motion, who owns the Blackberry brand. Recently, HTC had been facing reduction in profits and market shares as it continually face competition with companies like Apple Inc, and Samsung Electronics Co. But in China, three major allies has refused a defeat for the Taiwanese HTC in China. The three allies company includes; China Unicom (Hong Kong) Ltd, China Telecom Corp and China Mobile Ltd.
Last Friday was the 18th edition China’s Party Congress, many of the attendants were leaders of most of China’s biggest state owned enterprises, the Chairman of China Unicom, Chang Xiaobing made a statement that looked much like a rare positive for the shareholders of HTC. The Chinese consumers seem to by HTC’s product in great amount as the partnership between them with China Unicom as well as with other China carriers are going great.
As Mr. Chang continued, he said that the demand for smartphone in China will continue to rise in 2013 and he is looking forward to establish more cooperation with the more Taiwan companies that run the same industry.
As China is one out of the world smartphone consumers, the three companies can be of important help to HTC, as he forecast China market as an important part of its future.
HTC experience a drift rise in its shares of the world smartphone market as it was the first to make use of Android, the Google Inc Operating system. Unfortunately for HTC, in few past years, it had been unable to compete some of the biggest rivals in the smartphone business, some of which were Samsung that has continually been rolling out huge numbers of average and big smartphones. As a result of this, the profit of HTC continues to decline, and as the fourth quarter approaches, it had forecast great margins in profit declination; making some analyst feels that HTC could run a loss in the fourth quarter.