CNet: "Google's sale of Motorola seals HTC's fate"

[Ry]

Google's sale of Motorola seals HTC's fate | Mobile - CNET News

Assuming HTC isn't going to have a miracle turnaround, I only see the following options:
? Sell out to another rival, say Lenovo.
? Keep fighting a war that it will ultimately lose, but go for one miracle design to save the day to put off the inevitable.
? Go back to its roots as a company that makes smartphones and designs for partners.
In any case, there isn't a clear path for HTC. A bulked-up Lenovo in smartphones will pressure HTC, which is already squeezed by Samsung and a host of Chinese rivals with inexpensive handsets.
It's game over for HTC. It's just a matter of time.

 

[SpookDroid]

Given the fact that Lenovo has really made NO SPLASH whatsoever in Android, I'd say they're wrong... But not about HTC's fate. Unfortunately, no matter how many quality devices they produce, they just can't catch a break and keep getting hit with losses and lawsuits they can't afford and less-than-stellar sales despite above-stellar reviews. HTC sealed HTC's fate. Samsung didn't help, either, but selling Motorola to Lenovo, to me, is just changing the name on the owner's door. Moto was doing fine without Google (not great, but getting along), did better with Mountain View, and will do just fine with Lenovo if they keep their hands off the core team (let's face it, if Moto goes the Lenovo way, it will fail in the Smartphone arena).

 

[Ry]

Given the fact that Lenovo has really made NO SPLASH whatsoever in Android, I'd say they're wrong... But not about HTC's fate. Unfortunately, no matter how many quality devices they produce, they just can't catch a break and keep getting hit with losses and lawsuits they can't afford and less-than-stellar sales despite above-stellar reviews. HTC sealed HTC's fate. Samsung didn't help, either, but selling Motorola to Lenovo, to me, is just changing the name on the owner's door. Moto was doing fine without Google (not great, but getting along), did better with Mountain View, and will do just fine with Lenovo if they keep their hands off the core team (let's face it, if Moto goes the Lenovo way, it will fail in the Smartphone arena).

You sure? IIRC, Motorola was losing tons of money before Google stepped in. HTC just recently started losing money.

 

[SpookDroid]

Yeah, it was losing money but it was selling phones... (I know, the math of Economics is effed up) HTC is losing money and their sales keep going down, no matter how good the HTC One is, and patent wars stopping sales of their phones in certain countries is not helping, either, even if the block lasts for a few weeks.

 

[eshropshire]

Given the fact that Lenovo has really made NO SPLASH whatsoever in Android, I'd say they're wrong... But not about HTC's fate. .

Really, what is the largest market for Smartphones? China. Who has the largest Android smartphone market share in China? Lenovo. They are also strong in other Asian markets.

I think big changes will happen with Moto, Lenovo is not a company to put up with the loses Google took from Moto.

 

[SpookDroid]

Just like Lenovo turned IBM around and now their laptops are being sold faster than hot buns at a BBQ... If it wasn't for their business unit and the hassle it would be for ITs to migrate to a better system, Lenovo wouldn't be making money out of dying PCs, either...

I'm not saying this was a bad move. I am intrigued to see what will come out of it, but Lenovo is not exactly known for smartphone innovation or mind-numbing sales, and I liked the idea of Google having their 'own' phone maker, but I guess that didn't work out too well for them and now they're just making agreements and letting Samsung take advantage. Exciting times, in any case. Any acquisition means forced innovation to survive or at least a very entertaining show before the funeral.

 

[JeffDenver]

If the HTC One was not enough to save HTC, then there is nothing that can save HTC. Because critics had a ***** for that phone and even Apple people liked it.

If HTC would dump Sense (or at least allow a Vanilla option) I'd gladly go back to them. Of course they will never do that. Sense is what will finally sink HTC, not Lenovo.

 

[propeller10]

HTC will not die. CNET is full of it.

 

[abazigal]

The problem I see with HTC is manyfold, and another Android OEM entering an already saturating market doesn't help at all.

1) They all run Android. Skins aside, this means all Android phones run the same OS, sport the same Google services, and access the same Playstore apps. That's a major differentiator lost already. If I want an Android phones, choices are a dime a dozen. Contrast this with the iPhone, which has no direct equal (its services, software and apps are unique to the Apple platform. If I want the benefits of IOS, I must buy an iPhone, and so Apple is able to command high prices for them).

2) The only thing HTC has going for them is build quality, but they lose out because Samsung phones are perceived as having more value overall (with features like sf-cards and removable batteries).

So ultimately, I think HTC's problem is that they are charging too high a price for their phones in a highly-commoditized market, and so can't ship enough units to turn a profit as a result. Another competitor coming in will simply make competition stiffer and further squeeze profits. Maybe it won't kill HTC, but it definitely will make life that much harder for them, IMO.

 

[someguy01234]

HTC will not die. CNET is full of it.

I avoid CNET and Verge like a plague.

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[someguy01234]

2) The only thing HTC has going for them is build quality, but they lose out because Samsung phones are perceived as having more value overall (with features like sf-cards and removable batteries).

So ultimately, I think HTC's problem is that they are charging too high a price for their phones in a highly-commoditized market, and so can't ship enough units to turn a profit as a result. Another competitor coming in will simply make competition stiffer and further squeeze profits. Maybe it won't kill HTC, but it definitely will make life that much harder for them, IMO.

Nope it have nothing to do with it, the mainstream public don't even care about that stuff. They can make as good of a phone as they want and sell as cheap as a Nexus it wont change. They don't have the money to advertise and distribution system compared to Apple and Samsung. They don't have the resource like Samsung to polute the market with endless of junk devices. They also have to sign up for royalties and don't have the power the defend themselves and getting their devices taken off the market.

Imo HTC One is better value than Samsung S4. I'm not crazy enough to spend $600 on flimsy plastic devices with gimmicks features (no offense to people who have S4, I think One is a better phone). The price for a brand new unlocked 32gb HTC One vs S4 16gb is about the same, sometimes cheaper, I'm more willing to get the HTC One for that price. SDcard and removable battery are nice, but it's less relevant now with new phones with bigger storage, better battery life and cloud services. Removable battery and microSD is for the tech savvy crowd, try quizzing the average citizen if they know or care, half of them buys iPhone which have neither. They buy the phone shown during the super bowl tv commercial. This is coming from someone who owned atleast a dozen Samsung Android phones.

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[ab304945]

even though i prefer Samsung over HTC. I still hate to see a company go under. Just makes for less choice, and the loss of jobs.

I think HTC needs is better marketing.