While attention has been focused on the
demise of new chapter for Nokia as part of Microsoft, another phonemaker is in deep trouble.
Unlike Nokia, Taiwan’s HTC actually makes very good smartphones, and sold a lot of them a few years back. But sales have been dropping steadily since the 2011 heyday, and two bits of news have made the outlook for investors even grimmer. Read more
Just a few weeks ago, Foxconn was apologising profusely for poor performance as rival contract manufacturer Pegatron was riding high on reports that it had won out over Foxconn, Apple’s main manufacturer, for a contract to make Apple’s upcoming cheaper version of its iPhone.
Things have changed. Now it’s Pegatron’s shares that are falling, battered by local reports that it is will not get as many orders as initially forecast, with Foxconn getting them instead. Read more
PC companies just can’t get a break.
Shipments from the Taiwanese manufactures that make most of the world’s desktop and laptop computers hit a three-year low last quarter as consumers waited for fixes to Windows and decided to buy tablets and smartphones in the meantime. For those Taiwanese companies, those disappointing stats are one more reminder of the need to diversify away from their core PC business. Read more
Taiwanese consumers are a discerning lot when it comes to tech – it is the key industry in this island nation, after all – so it’s a bit surprising that a popular new brand on the market is a Chinese smartphone company, Xiaomi.
Strong sales meant Xiaomi nearly ran out of phones in its first foray in Taiwan, part (along with Hong Kong) of its first big push out of mainland China. But if the popularity of the launch showed the potential of the brand, some operational snags point to the trendy company’s inexperience in foreign markets. Read more
HTC, the bealguered Taiwanese phonemaker, expects sales to jump over 60 per cent between the first and second quarters. That’s quite an uplift, and certainly better than last quarter, when sales significantly missed expectations, driving down its first quarter profits to record lows.
What’s behind the change? Well, it helps to have a flagship phone to sell. Read more
When Apple’s share price gets slammed 10 per cent, its suppliers should all suffer too, shouldn’t they?
Well, not quite. On Thursday, Apple’s disappointing results led to some falls in its suppliers’ share prices. But none was hit as hard as Apple, and some even rose. Read more