Peter Chou, chief executive of cell phone maker HTC, says the Taiwan-based company is no risk- taker. But to a casual observer, that might hardly seem the case.
HTC was the first handset maker to introduce a cell phone based on the Google (NMS:GOOG)-backed Android operating system, the G1 by T-Mobile. It was the first to roll out a phone using the advanced broadband 4G platform, the Evo by Sprint Nextel (NYSE:S - News). In fact, its track record of innovation, including touch-screen technology and innovative software, dates all the way back to 1999 when HTC introduced the first color-screen palm-sized device.
"They've done a really good job over the last decade making the transition from a maker of electronics for other firms to building a global brand and becoming a major player in smart phones," said Michael Gartenberg, partner at research firm Altimeter Group. "They're not afraid to innovate and push the envelope forward."
The result is a company that is steamrolling ahead with the fastest growth in the cell-phone market, better than even Apple (NMS:AAPL).
"I don't see us as a big risk-taker, but we are committed to taking up a challenge and doing new things," Chou said.
HTC wants to be careful about betting the farm to protect its employees, partners and investors.
"But we are never afraid to bring to the market something different," Chou said. "If we make mistakes, we admit that and fix it quickly instead of blaming someone for this or that. We are humble and passionate about innovation."
It's a strategy that clearly works. HTC is now the world's fourth- largest maker of smart phones, according to research firm IDC, with a 7.6% market share. Nokia (NYSE:NOK - News) is first with 38%, followed by BlackBerry maker Research In Motion (NMS:RIMM) at 17.8% and Apple at 13.3%.
Including all handsets, HTC broke into the top 10 during the second quarter, says researcher Gartner. HTC shipments rose 139% to 5.9 million units, making it the eighth-largest global vendor. Its growth was more than double that of Apple, which had the second-fastest growth and is in seventh place.
In its second quarter ended July 29, revenue of HTC, whose shares trade on the Taiwan exchange, grew 59% from a year earlier to $1.9 billion. Net profit rose 73% to $269 million. Its stock is up 44% since June 30.
In the third quarter, HTC expects revenue of $2.2 billion, up 106% from a year earlier. It also expects device shipments to soar 132%.
Humble Beginnings
There was a time when HTC was a nobody. Chou co-founded HTC in 1997 with Cher Wang, the daughter of one of Taiwan's richest entrepreneurs. A Taiwan native, Chou has a degree in electronic engineering from National Taiwan Ocean University and completed the Advanced Management Program at Harvard Business School.
In 1999 when HTC was just getting its feet wet and working with telecom carrier British Telecom (NYSE:BT - News), it needed help, Chou said.
"At the time, we were a small and inexperienced company and the only thing we had was an idea," Chou said. He approached BT executives and said plainly, "You guys need to help and support us and teach us what areas are critical and important," Chou said.
Chou also reached out to cell phone chipmaker Qualcomm (NMS:QCOM) for tips on how to develop the best phones. Both answered HTC's call.
"They taught us a lot," he said.
HTC's first focus was to build phones that telecom carriers sold under their own label. Then, four years ago, it got ready to sell phones bearing the HTC label instead. Two years ago, HTC launched a branding campaign, adopting the slogan "Quietly Brilliant."
"More than 90% of our phones today are HTC-branded," Chou said.
Its carrier partners include all the majors, including AT&T (NYSE:T - News), Verizon (NYSE:VZ - News), Sprint and T-Mobile.
"Their transition from a design manufacturer (for other companies) to a branded manufacturer paid off," said Brian White, an analyst at Ticonderoga Securities. "Their products have been a big success. They've clearly entered the big leagues and are gaining share."
HTC's rise is also notable in that its rivals are much larger with roots in design and engineering: Nokia, Samsung, Apple, RIM, LG, Motorola (NYSE:MOT - News) and Sony Ericsson (NYSE:SNE - News) (NMS:ERIC).
Gambling On Droids
"One of the biggest risks they took was committing to Android so early," said Avi Greengart, an analyst with researcher Current Analysis. "They made a big bet on Android before the operating system was fully finished and it paid off extraordinarily well."
HTC was also an early and strong supporter, and still is, of the Microsoft Windows Mobile platform, which has been sputtering in the market the past few years. HTC will also be introducing phones based on Microsoft's (NMS:MSFT) new operating system for mobile, which has been rebranded as Windows Phone.
"If HTC had stuck to its knitting and just stuck with Windows Mobile without diversifying into Android, they'd be in real trouble right now," said Greengart.
HTC has introduced a slew of Android devices. Its Web site currently lists 27 various cell phone models. These include Droid Incredible, Evo 4G, MyTouch 3G Slide and HD2.
Chou credits HTC's success to many things. It started with what has traditionally been a mainstay of Taiwan-based companies: highly competitive manufacturing, excellent engineering and strong customer partnerships.
Other ingredients for long-term success are innovation and marketing, which many Taiwan firms lack, most analysts say. Taiwan players are said to have traditionally relied on clients for help in those areas.
"HTC wanted to create that kind of innovation to achieve greater success," said Chou.
Innovation is something Chou learned early on as an executive with computer pioneer Digital Equipment Corp., later acquired by Compaq, which was then acquired by Hewlett-Packard (NYSE:HPQ - News).
During his time at DEC, Chou spent lots of time in Silicon Valley, rubbing elbows with engineers at Intel (NMS:INTC), Microsoft and others.
"I've been working on innovation for a long time," he said.
He's worked hard to instill that culture into HTC, hiring top individuals, embracing them and setting them free to innovate.
"A lot of companies say they focus on innovation but they lack the talent and involvement," said Chou. "When they face difficulty, it can be easy to compromise. We encourage people to take risk and encourage and challenge them to create something exciting. You need to have passion and set high standards to achieve that."
"HTC innovated very quickly," said Ken Dulaney, a Gartner analyst. "They innovate very well and understand what customers want."
by Yahoo News, August 13, 2010
Assembling Droids For Dollars - Yahoo! News
Showing posts with label evo. Show all posts
Showing posts with label evo. Show all posts
Sunday, August 15, 2010
Tuesday, July 6, 2010
Sprint HTC EVO 4G offers great multimedia power
by Louie Villalobos The Arizona Republic Jul. 2, 2010 04:00 PM
Verizon and Sprint are doing everything they can to eat away at the stronghold the iPhone currently has on the smartphone market by jumping head-first into supporting Android-powered phones.
Sprint's HTC EVO 4G is currently among the leaders in the increasingly powerful Android army.
The phone costs $199 with a new two-year agreement, after a $100 rebate. The data plans start at $69.99 per month and there is a $10 month add-on fee for "premium data."
A review unit was temporarily provided to azcentral.com by Sprint. Here are the highlights.
Android
The EVO is currently running the Android 2.1 software, skinned with HTC's Sense build. It's the same setup that Droid Incredible users get.
A new version of the platform was recently announced, but there is no official word on if the EVO will be getting the update.
The result of the existing software is a very quick and sleek operating system. There is virtually zero lag while swapping between widgets, apps, or features. It has the standard feature of multiple screens running at the same time. A simple pinch of the screen or push of the home-button will reveal the seven screens, which can combine to run just about every major widget the phone has to offer.
The software also does true multi-tasking.
Because the Android software is supported by Google, all of the search engine giant's features are strongly integrated into the phone.
Then there is the ever-growing Android market, which Sprint said features more than 60,000 applications. Though, it's not as developed as the Apple market, Droid's offering has a great variety of applications available.
Design
The EVO is big and heavy. There's no getting around that. The 4.3 inch LCD screen and six ounce weight is substantial in a market where phones are pushing to be lighter. But smaller isn't always better. In the case of the EVO, the large screen offers up a very good Internet browsing experience.
Turning the phone on its side, in landscape mode, means that full-fledge websites have room to be displayed. A visit to azcentral.com's non-mobile site, for instance, does almost nothing to take away from the layout users will see on a computer.
But the screen is most noticeable when loading videos. YouTube clips take up the entire display and make it easy to drop the phone's kick-stand to watch a video.
The display area also allows for more room to the touch keyboard and to apps.
With a big screen comes a large phone. It will prove difficult to handle with one hand. That's especially true when trying to unlock the phone by pushing the power button. It's virtually impossible to hold the phone and push the button with one hand.
So EVO users will have to accept that the phone comes with size and weight and know that it can translate into a satisfying visual experience.
Battery life
The biggest problem with the phone is how quickly the battery will drain. But that is true of most current generation smartphones. They're essentially pocket computers that have Wi-Fi, notifications, and GPS running at all times. The EVO, though, can drain alarmingly fast.
One way to preserve the battery life, especially for power users, is to turn off Wi-Fi unless it's needed and to disable GPS. The battery lasted considerably longer with those features off.
The camera
The EVO is a multimedia powerhouse. The 8 megapixel, duel LED flash, camera on the back, and the 1.3 megapixel camera on the front, combine to create a very solid experience. Every picture in the slideshow included in this review was taken with the EVO. As was the video embedded that shows a Sprint employee demonstrating the phone.
There is no question that the camera can replace most point-and-click cameras. The 720p capable video camera is more than enough to make pocket cameras obsolete.
4G
Sprint is touting the EVO as the nation's first cell phone able to handle both the 3G and 4G networks. The problem is that Arizona hasn't been given access to Sprint's 4G, which boasts dramatically faster speeds than the 3G network.
Sprint has announced 4G in 36 markets but has not said when or if Arizona will get it.
Until then, at least two of the phone's major features will be weakened in Arizona.
That doesn't mean that Arizona's residents shouldn't by the phone or feel cheated if they did. It's just a fact that 4G hasn't arrived here. When it does, the phone will be able to connect by simply pushing the 4G button found on one of the phone's default screens.
Mobile WiFi
Perhaps the most useful feature on this phone is the ability to turn it into a Wi-Fi spot for up to eight devices. The feature costs $30 extra a month but it is well worth the cost for frequent travelers or for anybody who owns the phone in a 4G market.
Setting up the Wi-Fi feature is fast and the 3G download speeds were very solid throughout the Phoenix area. There was a noticeable drop in speeds, however, when multiple devices were connected and running high-bandwidth websites.
Video calling
Sprint's partnered with Qik, a mobile streaming video service, to provide video calling. Qik allows users with most smartphones to stream live video and store it online through user accounts.
In the EVO, Qik has created an exclusive video calling application. It's the EVO's version of the iPhone 4's Facetime application.
The problem in Arizona is that the quality is horrible over 3G. So using a Wi-Fi connection is the best way to go. Once running on a quality Internet connection, the video-calling is still a little buggy but works as advertised. Qik has already released an updated application that added stability to the calls. The one drawback is that users will need a Qik account to make or receive video calls.
Overall
Sprint's HTC EVO 4G is one beast of a phone. It runs on a mobile platform that is picking up steam, features some of the best multi-media hardware currently on the market and runs on a reliable network.
But not having 4G in Arizona is currently limiting what the phone can do. Sprint users should still flock to this phone because both of what it can do now and what it promises to do if the 4G flood-gates are opened locally.
Sprint HTC EVO 4G offers great multimedia power
Verizon and Sprint are doing everything they can to eat away at the stronghold the iPhone currently has on the smartphone market by jumping head-first into supporting Android-powered phones.
Sprint's HTC EVO 4G is currently among the leaders in the increasingly powerful Android army.
The phone costs $199 with a new two-year agreement, after a $100 rebate. The data plans start at $69.99 per month and there is a $10 month add-on fee for "premium data."
A review unit was temporarily provided to azcentral.com by Sprint. Here are the highlights.
Android
The EVO is currently running the Android 2.1 software, skinned with HTC's Sense build. It's the same setup that Droid Incredible users get.
A new version of the platform was recently announced, but there is no official word on if the EVO will be getting the update.
The result of the existing software is a very quick and sleek operating system. There is virtually zero lag while swapping between widgets, apps, or features. It has the standard feature of multiple screens running at the same time. A simple pinch of the screen or push of the home-button will reveal the seven screens, which can combine to run just about every major widget the phone has to offer.
The software also does true multi-tasking.
Because the Android software is supported by Google, all of the search engine giant's features are strongly integrated into the phone.
Then there is the ever-growing Android market, which Sprint said features more than 60,000 applications. Though, it's not as developed as the Apple market, Droid's offering has a great variety of applications available.
Design
The EVO is big and heavy. There's no getting around that. The 4.3 inch LCD screen and six ounce weight is substantial in a market where phones are pushing to be lighter. But smaller isn't always better. In the case of the EVO, the large screen offers up a very good Internet browsing experience.
Turning the phone on its side, in landscape mode, means that full-fledge websites have room to be displayed. A visit to azcentral.com's non-mobile site, for instance, does almost nothing to take away from the layout users will see on a computer.
But the screen is most noticeable when loading videos. YouTube clips take up the entire display and make it easy to drop the phone's kick-stand to watch a video.
The display area also allows for more room to the touch keyboard and to apps.
With a big screen comes a large phone. It will prove difficult to handle with one hand. That's especially true when trying to unlock the phone by pushing the power button. It's virtually impossible to hold the phone and push the button with one hand.
So EVO users will have to accept that the phone comes with size and weight and know that it can translate into a satisfying visual experience.
Battery life
The biggest problem with the phone is how quickly the battery will drain. But that is true of most current generation smartphones. They're essentially pocket computers that have Wi-Fi, notifications, and GPS running at all times. The EVO, though, can drain alarmingly fast.
One way to preserve the battery life, especially for power users, is to turn off Wi-Fi unless it's needed and to disable GPS. The battery lasted considerably longer with those features off.
The camera
The EVO is a multimedia powerhouse. The 8 megapixel, duel LED flash, camera on the back, and the 1.3 megapixel camera on the front, combine to create a very solid experience. Every picture in the slideshow included in this review was taken with the EVO. As was the video embedded that shows a Sprint employee demonstrating the phone.
There is no question that the camera can replace most point-and-click cameras. The 720p capable video camera is more than enough to make pocket cameras obsolete.
4G
Sprint is touting the EVO as the nation's first cell phone able to handle both the 3G and 4G networks. The problem is that Arizona hasn't been given access to Sprint's 4G, which boasts dramatically faster speeds than the 3G network.
Sprint has announced 4G in 36 markets but has not said when or if Arizona will get it.
Until then, at least two of the phone's major features will be weakened in Arizona.
That doesn't mean that Arizona's residents shouldn't by the phone or feel cheated if they did. It's just a fact that 4G hasn't arrived here. When it does, the phone will be able to connect by simply pushing the 4G button found on one of the phone's default screens.
Mobile WiFi
Perhaps the most useful feature on this phone is the ability to turn it into a Wi-Fi spot for up to eight devices. The feature costs $30 extra a month but it is well worth the cost for frequent travelers or for anybody who owns the phone in a 4G market.
Setting up the Wi-Fi feature is fast and the 3G download speeds were very solid throughout the Phoenix area. There was a noticeable drop in speeds, however, when multiple devices were connected and running high-bandwidth websites.
Video calling
Sprint's partnered with Qik, a mobile streaming video service, to provide video calling. Qik allows users with most smartphones to stream live video and store it online through user accounts.
In the EVO, Qik has created an exclusive video calling application. It's the EVO's version of the iPhone 4's Facetime application.
The problem in Arizona is that the quality is horrible over 3G. So using a Wi-Fi connection is the best way to go. Once running on a quality Internet connection, the video-calling is still a little buggy but works as advertised. Qik has already released an updated application that added stability to the calls. The one drawback is that users will need a Qik account to make or receive video calls.
Overall
Sprint's HTC EVO 4G is one beast of a phone. It runs on a mobile platform that is picking up steam, features some of the best multi-media hardware currently on the market and runs on a reliable network.
But not having 4G in Arizona is currently limiting what the phone can do. Sprint users should still flock to this phone because both of what it can do now and what it promises to do if the 4G flood-gates are opened locally.
Sprint HTC EVO 4G offers great multimedia power
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