HTC Slashes Workforce By 15 Percent Amid Dismal Smartphones Sales
The smartphone sector is a place where are giants are born and, in some cases, eventually fall on hard times. That's the story behind HTC, once a massive player in the smartphone market when Android was young, and now a company that's struggling to compete with the likes of Apple and Samsung at the high end, and Chinese competitors like Huawei on the low end. Instead of quarterly gains and obscene revenues, HTC is cutting staff just to stay afloat.
We knew it was coming. HTC's Chief Financial Officer, Chialin Chang, warned a week ago that "significant" job cuts were on the horizon and that they would take place "across the board." He also said they'd extend into the first quarter of next year, though beyond that, he declined to say exactly how many pink slips HTC planned to hand out.
Well, now we know -- HTC is slashing its workforce by 15 percent.
"Now, as we diversify beyond smartphones, we need a flexible and dynamic organization to ensure we can take advantage of all of the exciting opportunities in the connected lifestyle space," Cher Wang, Chief Executive Officer of HTC, said in a statement, according to Financial Times.
This is what it's come to for HTC, a company that once commanded a 10 percent share of the smartphone market and now claims just 2 percent. HTC estimates the job cuts will shave operating expenses by 35 percent, though it's never a good sign when a company has to resort to letting employees go.
While we don't have a dog in this fight, we do recognize HTC as a pioneering force for Android. We've also been impressed by some of its higher end offerings, like the One series. Here's hoping HTC claw its way back to the top.
We knew it was coming. HTC's Chief Financial Officer, Chialin Chang, warned a week ago that "significant" job cuts were on the horizon and that they would take place "across the board." He also said they'd extend into the first quarter of next year, though beyond that, he declined to say exactly how many pink slips HTC planned to hand out.
Well, now we know -- HTC is slashing its workforce by 15 percent.
"Now, as we diversify beyond smartphones, we need a flexible and dynamic organization to ensure we can take advantage of all of the exciting opportunities in the connected lifestyle space," Cher Wang, Chief Executive Officer of HTC, said in a statement, according to Financial Times.
This is what it's come to for HTC, a company that once commanded a 10 percent share of the smartphone market and now claims just 2 percent. HTC estimates the job cuts will shave operating expenses by 35 percent, though it's never a good sign when a company has to resort to letting employees go.
While we don't have a dog in this fight, we do recognize HTC as a pioneering force for Android. We've also been impressed by some of its higher end offerings, like the One series. Here's hoping HTC claw its way back to the top.
