HTC admits to mistakes with LTE devices as Q1 revenue projections get a downward revision
We’ve seen the recent slide in HTC’s profits and the company’s CFO, Winston Yung, believes he knows why sales numbers have not been meeting expectations. Yung admitted in today’s earnings call that HTC “dropped the ball” when it comes to its lineup of LTE devices. He continued to note that the LTE devices failed on both the design and spec level with the horrible battery life being the worst contributor. Additionally, Mr. Yung believes that these devices are not selling as well as expected. HTC has promised to change their approach in 2012 and hopefully the release of the Ville at Mobile World Congress later this month will be a good first step in their new plan.
During the same conference call, HTC announced that the company’s Q4 revenue of $3.48 billion was slightly lower than the numbers they posted in the same quarter the year before. But if that wasn’t enough, they also warned that the numbers for Q1 would be worse than they had previously expected. The only good news for HTC is both Apple and Samsung are not expected to announce any next-generation handset until Q2 which should give HTC enough time to make up any lost ground during the first half of Q1 of this year.
What do you think HTC needs to do in order to get back on track and get ahead of the competition?