Handset-maker HTC gets pinched by Apple iPhone; expects revenue to fall this year

Apple Online Store “Taiwanese handset maker HTC Corp. said it now expects its revenue to fall this year because of delays in product launches, a bigger-than-expected fall in contract orders, and lower-than-expected sales in China,” Charmian Kok reports for The Wall Street Journal.

“The company said Friday it expects its 2009 revenue to fall by a low- to mid-single-digit percentage, after earlier saying it expected a 10% increase. Revenue last year rose 29% to $152.56 billion Taiwanese dollars (US$4.65 billion),” Kok reports.

“HTC is the world’s largest maker of phones using Microsoft Corp.’s operating system in terms of shipments and also manufactures the G1 phone sold by T-Mobile USA Inc., which uses Android,” Kok reports. “‘The outlook has softened for the second half of the year, with June being the turning point for HTC as it faced a lot of competition from Apple,’ Yuanta Securities analyst Vincent Chen said.”

Kok continues, “HTC said it expects its third-quarter revenue to be between NT$34 billion and NT$36 billion, down from NT$37.86 billion in the third quarter last year… The average selling price of HTC’s phones fell to US$358 in the second quarter, from US$364 in the first quarter and US$381 in the April-June period of last year.”

More in the full article here.

18 Comments

  1. Wow. This says more to me about the future of Android than it does about the future of Windows Mobile. (We already knew where Windows Mobile was going.)

  2. Everyone who competes directly or indirectly with Apple must be really ticked off at Apple these days. They are all reporting poor performance, and blaming the global economic conditions, even as Apple reports a record-breaking third fiscal quarter and continues to roll on, seeming to mock them by asking, “What bad economy?” On the other hand, Apple business partners are benefiting from Apple’s success. Obviously, it’s better to be Apple’s sidekick these days than Apple’s nemesis.

  3. I don’t think it’s HTC that is the issue here. It’s the winmo os that is the issue. I recently convinced a colleague to get an HTC Hero and along with my iPhone it’s one of the most amazing phones I have ever used. The Android-based sense UI is smooth, fluid and responsive and works with macs.

    HTC is going to do just fine, it’s Nokia I wouldworry about. I mean has anyone ever used a Nokia touchscreen phone? Awful at best.

  4. I wonder what Apple’s last quarter would have looked like if we WEREN’T in a recession. People here at MDN are speculating that they are doing well in part because consumers are seeking value. I certainly agree with that logic. But if the economy were humming right now, and Apple had the same lineup of products and price points, I think it would be an even greater bloodbath than it already is. Apple’s competitors seem clueless and incapable of creating anything close to the Apple experience of platform, products and retail. Good times.

  5. Er… yes, but you still write it down in either simplified or traditional no matter what your language. That’s the benefit and genius of the Chinese emperor who instituted the written form all those many centuries ago.

    The DOWNSIDE is: you have to learn and memorise every single ideogram..!!!!! There’s no such thing as learning the alphabet and learning to spell the word.

    Which all goes to show: TANSTAAFL.

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