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Somewhere Samsung is celebrating

Phone carriers worldwide are passing along some bad news to their customers and the media -- HTC Corp.'s (TPE:2498) eagerly awaited flagship smartphone, the HTC One, has been delayed.  Retailers -- including Best Buy, Inc. (BBY) -- were planning to launch the 1080p Android smartphone in the third week of March, but that launch date has now been pushed back indefinitely due to a shortage in camera parts.

I. Hopes to Get a Head Start on

HTC promised its metal-body superphone would be available in 80 countries and 185 carriers before the end of March.  Now it's unclear which -- if any -- of the carriers will be able to launch in that window.

The delay could not have come at a worse time for HTC, who has struggled to compete with Samsung Electronics Comp., Ltd (KSC:005930) and Apple, Inc. (AAPL).  HTC had planned the HTC One launch to be its ticket back into the spotlight.  The smartphone would get a critical sales jump on Samsung's Galaxy S IV by a couple weeks.  An emboldened HTC even was observed talking some smack to Samsung, attacking its choice in body design for the GSIV.

Now HTC is eating a slice of humble pie.

According to an unnamed HTC executive quoted by Fox News, the shortage is due to HTC losing its preferred component buyer status amid disappointing shipments.  Wary suppliers have now limited the amount of stock they're setting aside for the struggling phonemaker.

HTC One 360 view
The HTC One

Comments the unnamed HTC executive, "The company has a problem managing its component suppliers as it has changed its order forecasts drastically and frequently following last year's unexpected slump in shipments.  HTC has had difficulty in securing adequate camera components as it is no longer a tier-one customer."

II. CEO Peter Chou May Resign Out of Shame For Poor Showing

HTC Chief Marketing Officer Benjamin Ho refused to offer details on the supplier snub or provide a firm timeline for the HTC One's release.  He comments, "We...are working tirelessly with all of our channel partners to ensure that we can fulfill as many orders as possible. We will start fulfilling pre-orders by the end of March in certain markets and will roll out to more markets as we approach April."

But an April launch is the last thing HTC wanted.  Samsung is also launching the GSIV in early April and HTC's marketing machine pales in comparison to tis rivals.

What's more Fox News reports that HTC is suffering a multitude of personnel woes.  One unnamed engineer comments,  "This was the first time that HTC didn't give out a year-end bonus...management probably wants to reserve the money to boost marketing this year."

Reportedly many of HTC's top engineers are jumping ship to rival gadgetmakers with better pay like Acer Inc. (TPE:2353), Huawei Technologies, and ASUSTek Computer Inc. (TPE:2357).

And HTC could soon be without a chief executive.  If the delay causes HTC One sales to fall short, HTC CEO Peter Chou is expected to resign, according to Fox News.  Mr. Chou reportedly told the company's top executives at a late 2012 meeting that if the flagship HTC One was not a success, he would step down.

Peter Chou
Fox News quotes an unnamed HTC executive as saying his CEO announced he may soon resign out of shame for the company's failures. [Image Source: Android and Me]

Comments an unnamed executive, "He (Peter Chou) is a proud person. It seems that he wants to hold himself accountable for HTC's decline in the last two years."

It looks what started as a trickle down the mountain could soon become an avalanche of issues for Taiwan's top smartphone OEM.

Source: Fox News



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This is how Apple wins
By Motoman on 3/19/2013 1:11:15 PM , Rating: 5
...sue HTC.

Get products banned.

...for a while, anyway.

Long enough for HTC to get in deep sh1t financially, and have to drastically cut forecasts and parts ordering.

BS in lawsuit eventually gets sorted out.

Then HTC tanks because it was effed up enough, and long enough, by the predatory Apple lawsuit that it can't recover.

*THAT* is why trolls like Apple should be taken out behind the barn and shot.




RE: This is how Apple wins
By melgross on 3/19/2013 1:25:53 PM , Rating: 2
Actually, the reason is that people simply aren't buying their products. Blame Samsung.


RE: This is how Apple wins
By othercents on 3/19/2013 2:11:15 PM , Rating: 3
You can only blame HTC for not producing a competitive product in the past. However, there isn't a reason this should affect the next release unless it was poor planning on HTC's part. They should know more than anyone the supply limitations that they might have and accommodate for those issues. I'm certain that a large enough bulk order could move them from tier-two to tier-one for the duration of the order. Somewhere someone decided that being tier-two wasn't important.


RE: This is how Apple wins
By chrnochime on 3/19/2013 6:32:26 PM , Rating: 2
You mean "Somewhere someone decided that being tier one wasn't important". If they thought being t-2 was important, then they're doing the right thing, as in not buying in large enough volume to get to t-1.


RE: This is how Apple wins
By martin5000 on 3/19/2013 1:51:46 PM , Rating: 2
quote:
*THAT* is why trolls like Apple should be taken out behind the barn and shot.


Lol.


RE: This is how Apple wins
By zlandar on 3/19/13, Rating: 0
RE: This is how Apple wins
By Reclaimer77 on 3/19/2013 3:26:23 PM , Rating: 2
+6

People only seem 2 associate lost profits if a lawsuit is a loss. They don't seem to understand the huge cost involved with being sued by a mega corp like Apple.

Just a few short years ago HTC was a giant in the handset industry. Throw in a few lawsuits by Apple, some bans, and look at them now. Its so sad.


RE: This is how Apple wins
By UpSpin on 3/19/2013 5:26:10 PM , Rating: 2
It's HTCs fault only!
I own a HTC Desire, but I wouldn't have bought one of its successors from HTC. HTC just wasted a lot of time with the useless Beats optimized smartphone series, totally lack of competive products and a total mess of naming scheme and thus no marketing at all. They ruined the well known Desire name with cheap products and introduced thousand different new names, for each carrier a different one. They just lacked the One main high end smartphone which everyone worldwide Desires.
Their reentry with the One S, One X looked promising, sadly had the One S huge manufacturing issues which are unsolved till today and the One X wasn't high end and lacked proper marketing because HTC still flooded the market with different but similar models.
The One looks really impressive this time, has the latest tech and just looks great (but too huge borders for my taste), but maybe it's too late to recover.


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