Print 34 comment(s) - last by superflex.. on Aug 20 at 10:38 AM

Jimmy Iovine, Peter Chou, and Dr. Dre
HTC is sinking, and Beats wants out

As HTC continues to sink, Beats Electronics is looking to bail and possibly search for other investors. 

The Wall Street Journal reported that Beat Electronics LLC -- the audio products company founded by rapper Dr. Dre -- wants to buy out HTC in their smartphone venture.

In August 2011, HTC acquired a majority stake at 50.1 percent in Beats Electronics for $300 million USD. The venture aimed to help HTC gain market share from Samsung and Apple smartphones, and help Beats enter the smartphone market. 

However, in mid-2012, HTC was forced to sell back half of its stake in Beats due to a huge decline in revenue and profits. This resulted in a net loss of $4.8 million for HTC.

Today, things don't look much better for the Taiwanese gadget maker. According to The Wall Street Journal, HTC's sales have fallen below $4 billion since Q4 2011. The company also predicts its first operating loss this quarter. 

For Q2 2013, which was reported last month, HTC took in $70.7 billion TWD ($2.35 billion USD) for the quarter -- which fell below analyst expectations of $72.8 billion TWD ($2.42 billion USD). Profit was at $1.25 billion TWD ($41.5 million USD), which fell short of the $2.17 billion TWD ($72 million USD) analysts expected

Recognizing that HTC is a sinking ship, Beats is reportedly looking for a buyout and may look for other investors so that it can keep its foot in the smartphone market. 

There's no word on whether HTC is willing to sell the rest of its stake, but HTC may want to hold onto Beats, as this is one of its draws in smartphone sales. 

HTC has tried to turn its business around with the release of new smartphones like the HTC One, which grabbed 5 million sales in its first month of availability despite issues. It's even planning a 5.9-inch HTC One Max.

Last month, HTC went through an executive shake up in hopes of making a fix, where President of Global Sales Jason Mackenzie was chosen to lead HTC America, and President of North America Mike Woodward was chosen to lead Emerging Devices, a new business unit that will focus on innovative new HTC products and global distribution strategies.

Source: The Wall Street Journal

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RE: Who cares?
By Motoman on 8/19/2013 6:29:01 PM , Rating: 5
That kind of fluff piece is what you base a buying decision on?


Ask yourself a few questions about Bose:

1. Why does Bose prohibit any audiophile industry publications from reviewing their products? (Go look...see if you can find a Bose product review in *any* hifi/audiophile publication. You won't.)

2. Why does Bose require any retail displays/demo rooms for their product to be separate from any other audio products? (because if you actually compared side-by-side with anything else, you'd stand a chance of realizing what crap the Bose stuff is)

3. Why is that when someone who *is* competant takes it upon themselves to review a Bose product, the results wind up like this:

There's very good reasons why Bose only lets magazines like Better Homes & Gardens review their products...why they require standalone displays in stores...why no Bose product has ever met the requirements for THX certification...etc. etc. etc.

With any luck, buying a Bose product is the stupidest thing you'll ever do. Although they do tend to go well with Apple and Monster Cable products.

RE: Who cares?
By kleinma on 8/19/2013 6:40:04 PM , Rating: 3
When I bought them, I tried on every set they had in the store, and for sound quality and comfort, the bose were the best ones there. You can call them crap all you want, but they work really well. I fly a lot, and I can be sitting in a window seat, next to the engine, and I get silence with them, and I can wear them for a full 6 hour flight without them hurting my head. So I guess if that is crap and there is something better, I can't imagine what it could be like.

RE: Who cares?
By flyingpants1 on 8/19/2013 8:40:52 PM , Rating: 2
Ever think your little anecdotal test might be unreliable?

In other news, my Ford Focus feels faster than a Corvette.

RE: Who cares?
By Azethoth on 8/20/2013 4:20:17 AM , Rating: 2
Ok I agree that bose is crap and tend to do B&W and Velodyne myself.

Monster Cable is indeed the same marketing crap. Expensive cables that you buy if you are stupid rich and don't care. Especially solid gold digital cables with spun silver and unicorn dust, LOL.

But seriously, why the frak would you spoil your good points by lumping Apple in there? Yes you pay a premium for Apple but you get actual solid value back. Hell, iPod 1, iPhone 1 & 2 and iPad 1 had no actual competitors. You could not go out and buy a competing product at all.

I hope you can see how that is different from Bose and Monster which charge a premium for pure bullshit.

RE: Who cares?
By superflex on 8/20/2013 10:21:14 AM , Rating: 3
Probably because the majority of people who buy Apple products do it to keep up with the Kardashian's. Same applies to the tards who support Bose, Monster and Beats.
Image is everything.

“And I don't know why [Apple is] acting like it’s superior. I don't even get it. What are they trying to say?” -- Bill Gates on the Mac ads

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