HTC Blames iPhone 4S for 70% Drop in Profits

In reporting its first quarter financial results, handset maker HTC has revealed a 70% decrease in net profit to T$4.464 billion ($151.5 million), says Reuters. Even more interestingly, HTC chief executive Peter Chou blames the poor performance in the United States on the iPhone 4S.

“A major challenge we faced last year was the big drop in sales in the U.S. because of competition from the iPhone 4S,” Chou told an analysts’ briefing on Tuesday on the company’s first-quarter results released earlier in the month. He did not elaborate.

Chou believes that HTC will reignite its product strategy and execution of global sales and marketing with the launch of the HTC One. But for now, the iPhone 4S prevails. Do you think HTC can ever reclaim its high ground in the smartphone market?

[Reuters via iClarified]

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