HTC verging on bankruptcy?
Ryan Martin / 5 years ago
HTC has been struggling for a while now, as shown by their last quarterly results. It is common knowledge that this has been the case for a while now as competition from the likes of Samsung and Apple has pushed HTC to the brink.
HTC’s profits have plummeted across its entire product portfolio, it even had to sell 50% of its share in Beats Audio to meet its own financial obligations. The company also took a $40 million hit from the OnLive restructuring, where they invested the money in February of last year.
The latest bad news comes from Taiwan where its central bank has proposed a bailout in an effort to save the struggling company. That can only mean one thing, that HTC are genuinely struggling and they can’t keep “this” up for much longer unless the situation improves. It is simple, HTC needs to sell significantly more units to keep up with Apple and Samsung or face complete and utter destruction in the form of bankruptcy.
The bailout proposal would suggest that HTC don’t have long to turn things around. And lets face it, negative speculation is only going to do one thing – force sales down even lower. We’d be surprised if HTC last another year.