HTC

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For other uses, see HTC (disambiguation).
HTC Corporation
宏達國際電子股份有限公司
Type Public
Traded as TWSE: 2498
Industry Telecommunications equipment
Founded 1997
Headquarters New Taipei City, Taiwan
Area served Worldwide
Key people Cher Wang, Chairwoman
Peter Chou, CEO and President
Fred Liu, COO
Products Smartphones, Tablets
Revenue Decrease$9.84 billion USD (2012)[1]
Operating income Decrease$646 million USD (2012)[1]
Net income Decrease$603.8 million USD (2012)[1]
Total assets Decrease$7.09 billion USD (2012)[1]
Total equity Decrease$2.76 billion USD (2012)[1]
Employees 16,846 (2012-3-31)[2]
Subsidiaries S3 Graphics
Dashwire
Zoodles
Saffron Digital
Website www.htc.com
www.htc.com/au

HTC Corporation (Chinese: 宏達國際電子股份有限公司; pinyin: Hóngdá Guójì Diànzǐ Gǔfèn Yǒuxiàn Gōngsī), formerly High-Tech Computer Corporation,[3] is a Taiwanese manufacturer of smartphones and tablets headquartered in New Taipei City, Taiwan. Founded in 1997, HTC began as an original design manufacturer and original equipment manufacturer, designing and manufacturing devices such as mobile phones, touchscreen phones, and PDAs based on Windows Mobile OS and Brew MP to market to mobile network operators who were willing to pay a contract manufacturer for customized products.[4][5] After initially making smartphones based mostly on Windows Mobile, HTC expanded its focus in 2009 to devices based on the Android, and in 2010 to Windows Phone. As of 2011, HTC primarily releases and markets its smartphones under the HTC brand, ranking as the 98th top brand on Interbrand’s Best Global Brands 2011 report.[6] A September 2013 media report stated that HTC's share of the global smartphone market is less than 3 percent and its stock price has fallen by 90 percent since 2011.[7]

HTC is a founding member of the Open Handset Alliance, a group of handset manufacturers and mobile network operators dedicated to the development of the Android mobile device platform.[8] The HTC Dream, marketed by T-Mobile in many countries as the T-Mobile G1 or Era G1, was the first phone on the market to use the Android mobile device platform.

History

HTC's headquarters in New Taipei City

Cher Wang (王雪紅), H. T. Cho (卓火土), and Peter Chou (周永明) founded HTC in 1997.[9] Initially a manufacturer of notebook computers, HTC began designing some of the world's first touch and wireless hand-held devices in 1998.[10] The company is credited with creating the first Android smartphone, the first Microsoft-powered smartphone (2002) and the first Microsoft 3G phone (2005). Their first major product, one of the world's first touch-screen smartphones, appeared in 2000. As an ODM for HP and Palm, HTC built the HP iPAQ and the Palm Treo 650.

In 2007 HTC acquired the mobile-device company Dopod International.[11]

In October 2009, HTC launched the brand tagline "quietly brilliant", and the YOU campaign, HTC's first global advertising campaign.[12]

In June 2010, the company launched the HTC Evo 4G, the first 4G-capable phone in the United States.[13] In July 2010, HTC announced it would begin selling smartphones in China under its own brand name in a partnership with China Mobile.[14] In 2010 HTC sold over 24.6 million handsets, up 111% over 2009.[15]

At the Mobile World Congress on 16 February 2011, the GSM Association named HTC the "Device Manufacturer of the Year" for 2011.[16] In April 2011, the company's market value surpassed that of Nokia, making HTC the third-largest smartphone-maker in the world behind Apple and Samsung.[17]

On 6 July 2011, it was announced that HTC would buy VIA Technologies' stake in S3 Graphics, thus becoming the majority owner of S3.[18][19] On 6 August 2011, HTC acquired Dashwire for $18.5M. In August 2011, HTC confirmed a plan for a strategic partnership with Beats Electronics involving acquiring 51 percent of Beats' shares.[20][21]

On 27 September 2013, HTC announced that it sold back all remaining shares of Beats to Beats Electronics. The deal is expected to be closed in Q4 of 2013.[22] The 2011 Best Global Brands rankings released by Interbrand, listed HTC at #98 and valued it at $3.6 billion.[23][24] Based on researcher Canalys, in Q3 2011 HTC Corporation became the largest smartphone vendor in the U.S. with 24 percent market share, ahead of Samsung's 21 percent, Apple Inc.'s 20 percent and BlackBerry's 9 percent. HTC Corporation made different models for each operator.[25]

During early 2012, HTC lost much of this U.S. market share due to increased competition from Samsung and Apple Inc.[26] According to analyst firm comScore, HTC only accounted for 9.3% of the United States smartphone market as of February 2013.[27] In light of the company's decrease in prominence, Chief Executive Peter Chou informed executives that he will step down if the company's newest flagship phone, the HTC One, fails to generate impressive sales results.[28] HTC's first quarter results for 2013 showed its year-over-year profit drop by 98.1%, making it the smallest-ever profit for the company—the delay of the launch of the HTC One was cited as one of the factors.[29] In June 2012, HTC moved its headquarters from Taoyuan City to Xindian District, New Taipei City.[citation needed]

In August 2013, HTC debuted a new "Here's To Change" global marketing campaign featuring actor Robert Downey, Jr., who signed a two-year contract to be HTC's new "Instigator of Change." On 15 August, HTC began airing the new marketing campaign on YouTube, prior to the campaign's appearance in television and cinema advertising schedules.[30]

On September 27, 2013, HTC announced the sale of its entire stake (24.84 percent) in Beats Electronics. The company will close the deal in the fourth quarter of 2013 and expects a US$85 million pretax profit.[7]

The HTC One model was released in mid-2013 and this was followed by the HTC One Mini shortly afterwards. Global sales of the HTC One were lower than those for Samsung's Galaxy S4 flagship handset and HTC recorded its first ever quarterly loss in early October 2013: a deficit of just under NT$3 billion (about US$100m, £62m). Marketing problems were identified by HTC as the primary reason for its comparative performance, a factor that had been previously cited by the company.[31]

Following the release of the HTC One, two variants were released to form a trio for the 2013 HTC One lineup. A smaller variant named the HTC One Mini was released in August 2013, and a larger variant named the HTC One Max was released in October 2013. Similar in design and features to the HTC One, the upgraded aspects of the One Max include a display measuring 5.9 inches (15 cm), a fingerprint sensor and a removable back cover for expandable memory.[32] The product was released into the European and Asian retail environment in October 2013, followed by a US launch in early November 2013.[33]

Legal

In March 2010, Apple Inc. filed a complaint with the US International Trade Commission claiming infringement of 20 of its patents covering aspects of the iPhone user interface and hardware.[34] HTC disagreed with Apple's actions and reiterated its commitment to creating innovative smartphones.[35] HTC also filed a complaint against Apple for infringing on 5 of its patents and sought to ban the import of Apple products into the US from manufacturing facilities in Asia.[36][37] Apple expanded its original complaint by adding two more patents.[38]

On November 10, 2012, Apple and HTC reached a 10-year license-agreement covering current and future patents held by the two companies. The terms of the agreement remain confidential.

In February 2013, HTC settled with the U.S. Federal Trade Commission concerning lax security on more than 18 million smartphones and tablets[39] it had shipped to customers[40] and agreed to security patches.[41]

Corporate information

HTC's chairwoman is Cher Wang who is the daughter of the late Wang Yung-ching, Taiwan's petrochemical industrial giant and one of Taiwan's wealthiest people.[10] Peter Chou serves as President and CEO,[42] and HT Cho as Director of the Board and Chairman of HTC Foundation.[43] HTC's CFO is Hui-Ming Cheng.[44] In addition to being chair of HTC, Cher Wang is also acting chair of VIA Technologies.[10] HTC's main divisions, including the IA (Information Appliance) engineering division and the WM (Wireless Mobile) engineering division, are ISO 9001/ISO 14001-qualified facilities.[45]

The company's growth has accelerated dramatically since being chosen by Microsoft as a hardware platform development partner for the Windows Mobile operating system (based on Windows CE). HTC also works with Google to build mobile phones running Google's Android mobile OS such as the Nexus One.[46] HTC's sales revenue totalled $2.2 billion for 2005, a 102% increase from the prior year. It was listed as the fastest-growing tech company in BusinessWeek's Info Tech 100.[47]

HTC has invested strongly in research and development, which accounts for a quarter of its employees.[9] The company's North American headquarters are located in Bellevue, Washington.[48] HTC runs a software design office in Seattle (near its North American headquarters) where it designs its own interface for its phones.[49] In 2011, HTC also opened a research and development office in Durham, North Carolina, a location the company chose over Seattle and Atlanta,[50] to focus on multiple areas of wireless technology.[51]

Innovations

On February 17, 2010, Fast Company ranked HTC as the 31st most innovative company in the world.[52] Bloomberg reports that HTC is considering its own mobile operating system to compete with Apple's iOS, Google's Android, and Microsoft's Windows Phone.[53] On May 27, 2011, in response to customer feedback, HTC announced that they will no longer lock the bootloaders on their Android based phones.[54] Since then, customers are now able to unlock the bootloaders of most of HTC's Android product line through the use of HTC's Developer website, HTCDev.com.

On January 14, 2013, HTC launched its smartphones in Myanmar, which will come with the world’s most advanced Burmese language on-screen keyboard.[55]

Sports sponsorship

Cycling

HTC sponsored the HTC-Highroad professional cycling team, the most successful team in professional cycling from 2009 to 2011.[56]

Association football

In 2012, HTC became the official mobile phone supplier and sponsor of the UEFA Champions League and UEFA Europa League.[57] The contract will last for three years and makes HTC one of the main sponsors of the two competitions.

See also

References

  1. ↑ 1.0 1.1 1.2 1.3 1.4 "2012 Q4 Financial Results - Consolidated Financial Report". Retrieved 2013-04-23. 
  2. ↑ "HTC Investor Relations - About HTC". HTC. Retrieved 2011-11-02. 
  3. ↑ "HTC Corporation: Snapshot". Bloomberg Business Week. Retrieved 2011-01-06. 
  4. ↑ "UPDATE 1-Taiwan's HTC sees 2008 sales at high end of target". Reuters UK. 2008-09-12. Retrieved 2010-07-08. 
  5. ↑ Russell Flannery (2006-01-09). "Cher Dividend". Forbes. Archived from the original on 2013-01-23. Retrieved 2010-07-08. 
  6. ↑ 2011 Ranking of the Top 100 Brands
  7. ↑ 7.0 7.1 Yu-Huay Sun; Edmond Lococo (27 September 2013). "HTC to Sell Back Stake in Beats Electronics for $265 Million". Bloomberg. Retrieved 29 September 2013. 
  8. ↑ "Google unveils cell phone software and alliance". CNET News. 2007-11-05. Retrieved 2010-07-08. 
  9. ↑ 9.0 9.1 "About HTC". HTC Corporation. Retrieved 2013-01-01. 
  10. ↑ 10.0 10.1 10.2 Laura Holson (2008-10-26). "With Smartphones, Cher Wang Made Her Own Fortune". The New York Times. Retrieved 2010-07-08. 
  11. ↑ Damian Koh (2007-05-11). "Dopod to assume HTC name". ZDNet. Retrieved 2012-12-20. 
  12. ↑ Nita, Ilinca (2009-10-26). "HTC unveils YOU advertising campaign, Quietly Brilliant brand". Unwiredview.com. Unwired View. Retrieved 2013-09-24. 
  13. ↑ "The Wait is Over - America's First 3G/4G Phone, HTC EVO(TM) 4G, Available Nationwide Today,..". Forbes. 2010-06-04. Retrieved 2010-07-08. 
  14. ↑ Chao, Loretta (2010-07-27). "HTC to Sell Branded Smartphones in Mainland Push". The Wall Street Journal. Retrieved 2010-07-27. 
  15. ↑ "HTC mobile phone shipments and revenues skyrocket in 2010". IntoMobile. 2011-01-21. Retrieved 2011-01-22. 
  16. ↑ HTC Wins Device Manufacturer of the Year at Annual Global Mobile Awards
  17. ↑ "Smartphone Upstart HTC Triples Earnings As Sales Double". Forbes. 2011-04-08. Retrieved 2011-04-08. 
  18. ↑ DailyTech - VIA, WTI Sell Stakes in S3 Graphics to HTC
  19. ↑ About HTC
  20. ↑ "HTC's Big Announcement: HTC To Acquire Majority Stake In Beats By Dr. Dre". August 11, 2011. 
  21. ↑ Anderson, Ash. "HTC to Invest $300M in Beats Audio". http://www.keynoodle.com/htc-to-invest-300m-in-beats-audio/. KeyNoodle. Retrieved 11 August 2011. 
  22. ↑ "HTC cuts connections with Beats – sells back 24.84% shares". September 27, 2013. 
  23. ↑ "Top 100 global brands 2011: Taiwan-based HTC jumps onto the list for the first time". Taiwan News. 2011-10-05. Retrieved 2011-10-05. 
  24. ↑ "2011 Ranking of the Top 100 Brands". Interbrand. Retrieved 2011-10-05. 
  25. ↑ Culpan, Tim; Miller, Hugo (November 2, 2011). "HTC Takes Lead in U.S. Smartphone Market as Apple, RIM Decline". Bloomberg. 
  26. ↑ Culpan, Tim (February 6, 2012). "HTC Trails Estimates as It Awaits New Models". Bloomberg. 
  27. ↑ Flosi, Stephanie (April 4, 2013). "comScore Reports February 2013 U.S. Smartphone Subscriber Market Share". comScore. 
  28. ↑ "HTC Delays Launch of New Phone". Wall Street Journal. March 19, 2013. 
  29. ↑ Eric Zeman, Eric (8 April 2013). "HTC One Delay Costly: Profit Drops 98%". InformationWeek. Retrieved 8 April 2013. 
  30. ↑ Hamburger, Ellis (12 August 2013). "HTC debuts 'Change' ad campaign with Robert Downey Jr. as frontman". The Verge. Vox Media. Retrieved 24 September 2013. 
  31. ↑ Leo Kelion (14 October 2013). "HTC One Max fingerprint phablet unveiled early". BBC News. Retrieved 4 November 2013. 
  32. ↑ Darrel Etherington (8 October 2013). "HTC One Max Will Have Fingerprint Sensor And Be Introduced Next Week, WSJ Reports". TechCrunch. AOL Inc. Retrieved 8 October 2013. 
  33. ↑ Darrell Etherington (14 October 2013). "5.9-inch HTC One Max With Fingerprint Sensor Allows You To Launch Apps With A Touch". TechCrunch. AOL Inc. Retrieved 15 October 2013. 
  34. ↑ Andrew Vanacore (2010-03-02). "Apple suing phone maker HTC over iPhone patents". Bloomberg Businessweek. Retrieved 2010-07-07. 
  35. ↑ "HTC Disagrees with Apple's Actions". HTC Corporation. 2010-03-17. Retrieved 2010-07-08. 
  36. ↑ "HTC Sues Apple for Patent Infringement". HTC Corporation. 2010-05-12. Retrieved 2010-07-08. 
  37. ↑ "US trade body to look into HTC complaint against Apple". AFP. 2010-06-11. Retrieved 2010-07-07. 
  38. ↑ "Apple expands patent infringement suit against HTC". Wired Magazine. November 12, 2012. Retrieved November 12, 2012. 
  39. ↑ Wyatt, Edward (February 22, 2013). "HTC Settles Privacy Case Over Flaws in Phones". New York Times. 
  40. ↑ "HTC America Settles FTC Charges It Failed to Secure Millions of Mobile Devices Shipped to Consumers". Ftc.gov. 2013-02-22. Retrieved 2013-03-03. 
  41. ↑ Fair, Lesley. "Device Squad: The story behind the FTC's first case against a mobile device maker | BCP Business Center". Business.ftc.gov. Retrieved 2013-03-03. 
  42. ↑ Elizabeth Woyke (2009-10-28). "HTC CEO on Android, Verizon, Microsoft". Forbes. Archived from the original on 2013-01-23. Retrieved 2010-07-08. 
  43. ↑ "HTC June 2009 Sales Report". redOrbit. 2009-08-03. Retrieved 2010-07-08. 
  44. ↑ "Update 1: Taiwan's HTC sees 2008 sales at high end of target". Reuters UK. 2008-09-12. Retrieved 2010-07-08. 
  45. ↑ "HTC company profile". PhoneDog. Retrieved 2010-07-08. 
  46. ↑ Metz, Cade. "Google uncloaks the Nexus One". The Register. 
  47. ↑ The IT 100 Companies: The Leading Tech Companies of 2005
  48. ↑ "About HTC - Contact Us". Retrieved 6 August 2010. 
  49. ↑ "HTC Launches Multi-Million Dollar Ad Campaign About ‘You’ To Become Household Name". mocoNews. 26 October 2009. 
  50. ↑ Bracken, David (2010-12-22). "HTC will come to Triangle". News & Observer. Retrieved 2010-12-22. 
  51. ↑ Lance Whitney (2010-12-21). "HTC opening R&D office to focus on wireless tech". CNET News. Retrieved 2010-12-22. 
  52. ↑ Macsai, Dan (2010-02-17). "Most Innovative Companies - 2010: HTC". Fast Company. Retrieved 2010-07-08. 
  53. ↑ Nosowitz, Dan (April 14, 2010). "HTC "Continues to Assess" Making Their Own Smartphone OS--or Buying One from Palm". Fast Company 
  54. ↑ Hildenbrand, Jerry (May 27, 2011). "HTC: No more locked bootloaders" 
  55. ↑ "HTC beats rivals with Burmese fonts". Investvine.com. 2013-01-16. Retrieved 2013-02-03. 
  56. ↑ Home - Team High Road Sports
  57. ↑ HTC becomes Champions League sponsor

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