HTC loses $40 million OnLive investment
Things have not been going great for Taiwanese manufacturer HTC. The company lost $1 billion off its market cap following a major decline in sales compared to last year, and its market share is falling. The HTC partnership with Beats didn’t go according to plan either – HTC sold 50 percent of its majority Beats shareholding back to the audio brand at a loss in July, less than a year after purchasing the stake.
The latest bad news for HTC is the collapse and restructuring of OnLive. The cloud gaming company will continue in a new form, but it looks like HTC has lost the $40 million investment it put in. The outlook for HTC fans with a love of gaming isn’t all bad because Sony did announce HTC as a PlayStation partner for Android devices. That means HTC could make PlayStation certified Android smartphones and tablets in the future.
One thing’s for certain, HTC needs to snap out of this global decline if it wants to continue to compete in the smartphone market. The question is, how does it compete with the marketing muscle of Samsung and Apple?