Shipments reduce revenue decline | HTC's strategic turn to break through

Although HTC Chairman and CEO Wang Xuehong repeatedly stressed that he will not give up the mobile phone business, however, the global market share of HTC’s mobile phone brand continues to decline, and the OEM’s Pixel mobile phone orders are also divided by Hon Hai, and the virtual reality (VR) market has not yet been Popularization, the manufacturing sector does not have a lot of manpower demand. Under the economic scale and cost considerations, HTC's manufacturing business should consider different strategies.

HTC’s share price climbed to a record high of 1,300 yuan in 2011 (NTD, the same). In the same year, the company’s revenue reached RMB 465.7 billion, regardless of the acquisition or bargaining of components, and the size of the economy, plus to ensure quality, there is indeed Have the needs of their own manufacturing department.

Compared with last year's HTC revenue of 62.1 billion yuan, only 13% in 2011, less than 10 million, the number of negotiating chips in the hands is greatly reduced.

In 2013, it was the turning point for HTC to turn losses. In the second quarter of the year, the revenue was 70.6 billion yuan, and the net profit per share was 1.5 yuan. In the third quarter, it began to enter into a series of losses. The quarterly revenue dropped to 47 billion yuan. The impact of economic scale. Moreover, HTC’s revenue last year was not as good as that of the second quarter of 2013.

The decrease in shipments and the decline in revenue are the main reasons why HTC has to cut the manpower of the manufacturing sector. If the goal of profitability in the industry is to be achieved, the adjustment of the manufacturing sector, including automation and even outsourcing, is a direction that can be considered. .

At the same time, under the trend of 'decentralization', with the rise of edge computing, the computing power of the mobile phone itself, the hardware specifications may not be too complicated, and it is handed over to the nearby small base station for edge computing backhaul, which can satisfy the user. The demand, the interface design and user experience, the difficulty of manufacturing, easier to automate or outsource production.

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