The beleaguered phone maker is hoping to recover after dismal performance.
Once one of the top smart phone makers in the world, the future of HTC is in question. In April the company reported a 55.5% drop in revenue vs the prior year, and a 46.7% drop in sales. Now, the company is planning on more layoffs.
Last year, HTC saw an influx of money when they sold off a portion of their smartphone business, along with around 2,000 employees to Google for $1.1 billion. Now, the company is planning to lay off an additional 1500 jobs from within it’s manufacturing unit in Taiwan. This accounts for about 25% of their employees.
HTC explains that these layoffs will optimize the manufacturing operations, and will allow the company greater flexibility. The layoffs will be completed by the end of September, and once completed, both the smartphone and the company’s Vive VR business will be under the same leadership.
HTC seemed to shoot quickly to the top of the smartphone business, and it’s fall seems to be occurring even more quickly. The smartphone business is increasingly more difficult for companies to make a profit. Will HTC be the latest casualty of the smartphone business?