HTC's Android Gamble is Paying Off

By  |  Tuesday, July 6, 2010 at 11:11 am

Smartphone maker HTC was one of the first manufacturers two years ago to announce devices for the then-unproven Android mobile OS. It was a gamble — there was no guarantee that the new platform would survive, even with Google’s muscle behind it. If HTC’s latest financials are any guide, that gamble is paying dividends (literally!).

The company reported a $268 million profit for the just ended quarter, up a third over last year. It also sold 4.5 million phones just in April — beating current smartphone juggernaut Apple and its iconic iPhone as consumers pulled back from the iPhone 3GS in anticipation of the iPhone 4.

HTC had for much of its corporate life focused on Windows-powered devices. However with Microsoft’s mobile phone division apparently in chaos, and the company’s mobile focus on its Windows Phone 7 operating system due later this year, the company is increasingly turning to Android as its primary operating system.

That said, we should mention that the Taiwanese smartphone maker remains the top purveyor of Windows-powered devices. It’s clear though that HTC may be more willing to invest more heavily in Android given the company’s profits have soared as the company manufactures more devices based on Google’s mobile OS.

Phones such as the Droid Incredible and the EVO  are helping the company to gain more brand recognition among consumers, which is something it did not enjoy as a Windows-mobile only manufacturer. Several of its models are hard to find, indicating demand is outstripping supply.

One has to wonder as well if Apple’s issues with the iPhone 4 — both the hardware and availablity — may give HTC an added boost over the next couple of months. Not everybody is as brand-loyal to Apple as some may think…

 
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3 Comments For This Post

  1. sfmitch Says:

    "Not everybody is as brand-loyal to Apple as some may think…"

    And this statement is based on what? Is this some good old-fashioned let's make some sh*t up or is this based on any facts?

    As for HTC – Kudos to them for realizing that WinMo was a dead end and investing heavily and delivering desirable Android based phones.

  2. Pierre Says:

    HTC Still has a big lineup of windows phone coming soon.
    I personaly think competition is good for us consumers. But thinking that such a volatile market is owned by anybody wether it is RIM, Apple, Microsoft ,or Google, is a BIG mistake.

    People lose, break and change phone at a rate that is not seen in any other electronic consumer market.
    And to the contrary of your TV, MP3 Player, or even Laptop, the phone you have today is not the one you will have in a year from now…

    It's a different world!

  3. Michelle Says:

    I got 2 Incredibles within the last week; 1 as a replacement for a defective Droid and 1 that I ordered June 3rd. I love it!

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  1. Sprint’s Supply Issues May Erase 4G Advantage Says:

    [...] 4G supply issues aren’t HTC’s only problem, as it has multiple phones in its portfolio that are doing well. Verizon’s Droid Incredible is another example. These shortages are not even the [...]

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