HTC eyes cuts as company seeks to find its way back to profitability
One month ago, HTC’s latest quarterly results arrived – and they didn’t look too good, not by a long shot. The company, once on the brink of turning its fortunes around following some recent disappointments, ended up taking a big loss – its largest quarterly loss ever. Clearly, something’s not working for HTC, and if it wants to get back on its feet, that’s going to mean making some changes. This week HTC Chief Financial Officer Chialin Chang shares just what sort of changes the company has in mind, and that’s going to mean making cuts.
It’s not yet clear just how many HTC jobs could be on the chopping block, but Chang reports that “the cuts will be across the board.” We may not learn the full extent of what the manufacturer has in mind for a few more quarters, but those cuts are coming, all the same.
Beyond tightening up its operations, HTC also seeks to get back to profitability by streamlining its product offerings. While some companies are finding success by going after budget markets, HTC will reportedly continue its focus on higher-end devices, and it sounds like the selection of lower-tier models could suffer as a result. Whether or not that may prove to be a successful strategy is far from clear, and analysts suggest that even with these changes, HTC could still be looking at a long, hard year ahead of it before it’s able to start making money again.