HTC reports large drop in profits for Q4 2011

HTC, which has been one of the biggest and, until now, most successful smartphone makers in the world, hit a speed bump in the fourth quarter of 2011. Reuters reports that the Taiwan-based company reported a drop of 25.5 percent in its net profits compared to the same time period a year ago. The results were below expectations from financial analysts.

HTC's full year was actually good with 2011's profits coming in at 57 percent higher than those in 2010. However, HTC did not go into any detail about why their fourth quarter 2011 profits took such a drop. HTC released a number of new smartphones for both the Android and Windows Phone operating systems in the time period.

While HTC declined to give their reasons for the profit drop, some are speculating that the launch of Apple's iPhone 4S might have cut into HTC's sales. The sales success of Samsung's smartphones such as the Galaxy S II might have also affected HTC's earnings for the quarter. HTC launched two new Windows Phone-based smartphones in the fourth quarter, the HTC Titan and the HTC Radar, along with a number of Android-based phones.

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HTC has a terrible consumer technical service. HTC has a terrible update policy. I'm an HTC phone user and I gotta say I would go for Samsung or iPhone... I will never buy HTC again

I moved from HTC to Samsung (Galaxy Nexus).
I liked my Desire, but the lack of internal space was just too rubbish. If they made one, with hardware buttons, and an HD screen, I'd buy it like the shot!

The message that HTC never got is the one Apple starting singing years ago. It is simple, put the customer at the center of all you do and don't flood the market with too many devices focused on too many people; in essence, give the customer something to love.

HTC phones all still look too similar and are released so fast that most consumers probably can't recognize the various phones. To add insult to injury HTC still bogs their devices down with mess and release updates at the pace of a dead snail.

Frazell Thomas said,
The message that HTC never got is the one Apple starting singing years ago. It is simple, put the customer at the center of all you do and don't flood the market with too many devices focused on too many people; in essence, give the customer something to love.

HTC phones all still look too similar and are released so fast that most consumers probably can't recognize the various phones. To add insult to injury HTC still bogs their devices down with mess and release updates at the pace of a dead snail.

Not only that, but they put some kind of TouchWiz crap on top of Android.

There are like 500 android devices all looking the same and a new one comes out ever damn 2 months. Not everyone can buy phones off contract like that. What did they expect?

micro said,
There are like 500 android devices all looking the same and a new one comes out ever damn 2 months. Not everyone can buy phones off contract like that. What did they expect?

Yet the iPhone.comes out once a year and has looked the same since day one. Both software and hardware.

CMG_90 said,

Yet the iPhone.comes out once a year and has looked the same since day one. Both software and hardware.

Which proves that Android fans just aren't as enthusiastic as Apple fans...

Not that that means no one else should release new designs for their phones. It would be a good idea at this point for HTC to do so.

And releasing an iPhone every year is rather different than the overwhelming barrage of Android devices that all look the same... It's a big difference. If HTC released ONE Android phone a year, I think this story would be a little bit different...

M_Lyons10 said,

Which proves that Android fans just aren't as enthusiastic as Apple fans...

Not that that means no one else should release new designs for their phones. It would be a good idea at this point for HTC to do so.

And releasing an iPhone every year is rather different than the overwhelming barrage of Android devices that all look the same... It's a big difference. If HTC released ONE Android phone a year, I think this story would be a little bit different...

That's the point. One iPhone per year destroys 50 Android models.

KingCrimson said,

That's the point. One iPhone per year destroys 50 Android models.

Yeah, when you get an iPhone, you have the current model for about a year. When you get an Android (or even a Windows Phone), you have the cool phone of the month. There are obvious advantages and disadvantages to both approaches.

Coolicer said,
Well the market is getting somewhat saturated, so such things are to be expected.
This. Did they expect everyone to be able to afford to keep up with new devices every few months. I consider myself a tech enthusiast and even I think it is retarded for people to buy the newest and greatest device every single time. It gets old eventually.

Coolicer said,
Well the market is getting somewhat saturated, so such things are to be expected.

I agree, maybe they should stop flooding the market with, often, **** poor lower end phones that have crappy margins every few months.

1. fire the current design department and hire a few guys with more imagination than a dead giraffe

2. make more WP devices

3. ditch the S-LCD

Morden said,
1. fire the current design department and hire a few guys with more imagination than a dead giraffe
Y
2. make more WP devices

3. ditch the S-LCD

1. The iPhone has looked the sane since day one.
2. If only the market wanted Windows Mobile.
3. Slcd is not bad. Better then the standard but I want to see.more OMLED.

CMG_90 said,

1. The iPhone has looked the sane since day one.
2. If only the market wanted Windows Mobile.
3. Slcd is not bad. Better then the standard but I want to see.more OMLED.

So, because the iPhone hasn't changed that means no one should release new and interesting designs? That's rather silly...

Almost all of the HTC devices look the same. They need to mix it up some.

As for Windows PHONE, there are people that want it, their biggest problem is marketing. Everyone that I've shown my phone to wants to get one (And many of them currently have Android).

HTC desperately needs to upgrade their screens...

All in all, I agree with Morden entirely. Some good points.

CMG_90 said,

1. The iPhone has looked the sane since day one.
2. If only the market wanted Windows Mobile.
3. Slcd is not bad. Better then the standard but I want to see.more OMLED.

1. for one thats not true (there are HUGE difference in style and the use of materials) and for two htc's last interesting device was the original diamond; ever since they are simply BORING...
2. for one thats windows PHONE (learn the difference already), and for two Lumia is selling pretty well
3. not bad but it does not belong to a high-end device... top HTCs are not cheaper than any other oems top devices

CMG_90 said,

1. The iPhone has looked the sane since day one.
2. If only the market wanted Windows Mobile.
3. Slcd is not bad. Better then the standard but I want to see.more OMLED.

It's Windows PHONE...

laserfloyd said,

It's Windows PHONE...

Mobile/Phone, what's the difference? They both run CE, and are conflated in every market share counter. Take a chill pill dude.

Morden said,

and for two Lumia is selling pretty well

From what I've read, the Lumia is just not selling.

I think the key points why the Lumia is failing are as follows:


• Lumia 800 features a 3.7 inch display-leading Android models moved to 4 to 4.5 inch display size some time ago
• Lumia 800 features pixel density of 250 ppi-about 80 below where new Apple, Samsung and, HTC models are
• Lumia 800 is 12 mm thick-about 40-70% thicker than the new wave of smartphones from Apple, Samsung, and Motorola
• Lumia 800 features only a single-core processor vs the dual-core chips from rival high-end smartphones
• Lumia 800 does not feature front-facing cameras or NFC technology, which is now arriving to cutting-edge Android models

CMG_90 said,

1. The iPhone has looked the sane since day one.
2. If only the market wanted Windows Mobile.
3. Slcd is not bad. Better then the standard but I want to see.more OMLED.

1. Not really, it has changed quite a bit since day one.
2. Nobody wants Windows Mobile. They do want Windows Phone after they've had a chance to actually use one though!
3. Whatever Samsung uses on their phones is the best.

Joey S said,

Mobile/Phone, what's the difference? They both run CE, and are conflated in every market share counter. Take a chill pill dude.

i think all android versions are just the same horror but you would surely fix me...

CMG_90 said,

2. If only the market wanted Windows Mobile.

The problem is there are no good Windows Phone's to purchase. I might go with Windows phone when my contract is up, but not if I still only have one lame phone from my carrier. Sprint only has one option. It has a small screen, bulky slide out keyboard, no 4G, and is a step down from my current android phone.

I haven't made up my mind on what my next phone will be, but if there isn't a new Windows Phone available when my contract is up, I won't be heading in that direction.

Scott Hellewell said,

The problem is there are no good Windows Phone's to purchase. I might go with Windows phone when my contract is up, but not if I still only have one lame phone from my carrier. Sprint only has one option. It has a small screen, bulky slide out keyboard, no 4G, and is a step down from my current android phone.

I haven't made up my mind on what my next phone will be, but if there isn't a new Windows Phone available when my contract is up, I won't be heading in that direction.

That's the problem right there. The carriers simply aren't carrying a selection of Windows Phones to choose from. When you have 30 Android devices compared to 1 Windows Phone device, of course the statistics will show that Android is dominating the market.

Morden said,
1. fire the current design department and hire a few guys with more imagination than a dead giraffe

2. make more WP devices

3. ditch the S-LCD

1. Designs are good. Not excellent, but best on the market.

Main reasons why HTC dropped are demote of Desire brand, belief in own irreplaceability (devices are expensive, lack of WOW effect, poor hardware with fooling name - i.e. Sensation XL, which is overclocked oversized Incredible S and doesn't have anything to do with Sensation etc etc. i.e they started to believe that whatever they do people will have to buy it. but no - there are other options) and lack of notable Sense improvements.

If they made HTC Sense decent or removed it altogether people might buy them more or they could bring out a Nexus style phone.

sam232 said,
If they made HTC Sense decent or removed it altogether people might buy them more or they could bring out a Nexus style phone.

sam232 said,
If they made HTC Sense decent or removed it altogether people might buy them more or they could bring out a Nexus style phone.

Sense is fine as is.

CMG_90 said,
Sense is fine as is.

It's not. Newer versions have tendency to become worse and worse. Also HTC does not localize Sense, just translating it. That's even bigger problem.

Remember - I was saying it a year ago - HTC started acting like Nokia few years ago with Symbian^1 devices. That was predictable.