HTC is taking a page out of Apple's book after it emerged the Taiwanese company will be delivering a smaller number of key "hero" devices in a bid to improve its profitability, which fell from $494m to $365m over the last quarter.
Apart from Apple, HTC faces competition from Samsung, a resurgent Sony (Sony Ericsson), Motorola (which has been acquired by Google) and the combined threat of Chinese behemoths ZTE/Huawei.
Speaking to Mobiletoday, the HTC UK Head honcho, Phil Robertson, said that the company ended 2011 with too many stock keeping units. He acknowledged that HTC has tried to do too much.
Instead, the company will launch a limited number of top end devices this year with most of them likely to appear during the second quarter of the year, possibly to avoid a head-on rivalry with the iPhone 5 and to benefit from the launch of Android 4.0.
However, analysts highlight the fact that the change in strategy is not without its risks, as the margin of error is higher; indeed, at least one of them, Francisco Jeronimo, reckons that HTC had great products but didn't spend enough when it came to marketing.