By Herman Lai, posted Nov 2, 2011 at 2:01 PM, 743 views,

HTC Thinks “Low-Priced” Phone Equals To “Low-Quality” Product

In prior, there was report about HTC Chairwoman said the company will launch a low-cost smartphone which would price at under $100 USD in an effort to expand its market share. However, it had immediately rubbed off by the HTC Chief Financial Officer during a conference call with all investors.

According to HTC Chief Financial Officer Winston Yung said:

“We have no interest in launching any low-priced smartphones because we do not want to make low-quality products.”

Low-priced smartphone doesn’t necessary mean that is going to be a low-quality product. But one thing is concrete, it is a bit difficult to make a good smartphone with limited budget, that’s probably what makes the phone “low-quality”. Indeed, Winston Yung said, the report about under $100 USD smartphone was misconstrued, and that supposes to be $200 – $250 USD.

In terms of the business future strategy, they are planning for a LTE phones at the beginning of next year. 4G network is very likely to be familiar to mobile phone users by next year, and telecom providers’ budget presumably are expecting to distribute more on such high-margin products in the transition to 4G networks. With HTC’s latest earning report, its overall sales had a significant growth from last year, which its net income had about 68 percent increase from a year ago, and the stat showed the strongest push is from China. According to Yung expressed, the company expects China to account for a double-digit percentage of its total revenue soon, up from the current single-digit figure. This is making sense. Previously, we reported HTC is planning to increase more retail stores in China to rise its presence within the nation. And the latest news that we heard is, the company had already expanded from 300 locations (at the beginning of this year) to 1,300 location (now), with the number expected to exceed 2,000 by the end of this year. To sync with the rapid increase of retail stores in China, the company also scheduled to have a new factory in Taoyuan, northern Taiwan to be completed by the beginning of next year, which boosts the productivity capacity up to 40 million units per year.

Furthermore, according to the Q3 handset shipment report, HTC had surpassed Apple and Samsung to become the biggest smartphone vendors in United State as well.

Source: TNW via Taiwan News