High Tech Computer (HTC), the Taiwanese phone maker, recently announced that the company's profit dropped by 25.5 per cent, first ever in the company's history. The mobile manufacturing giant released its financial data from last quarter of 2011 which showed that the net income after paying all due tax, stands at NT$11.02 billion.
During the same quarter a year ago the company made NT$14.8 billion. But, the company said that year-on-year growth from the month of January till November increased by 78.9 per cent with around NT$439.4 million earned as revenue.
The fall in profits of HTC can definitely be attributed to the fact that iPhone 4S stole the thunder in the last quarter of 2011 and there was very little that the Taiwanese phone maker was offering that could stand the competition of Apple.
Despite the fact that HTC was one of the early adopters of Android, Samsung managed to steal the thunder across the globe with its Galaxy range of smartphones.
Analysts believe that even though comparatively smaller players like Motorola and HTC did manage partnerships with Google, bigger players are taking away lion's share of the smartphone market and the status quo is not going to change that quickly.
"HTC and RIM [Research In Motion Ltd] appear to be suffering from a market share shift to lower-end products and other vendors", said Steven Pelayo, regional head of Asian-Pacific technology research at HSBC Securities reported Taipei Times.
After these disappointing results, the company tried to pacify the concerns of its investors. Perhaps during next week's CES the company will be launching some new models to improve their market condition.