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The recent HTC U Ultra price drop suggests it isn't selling very well

HTC has dropped the price of the HTC U Ultra by $150 (20%) to $599 only a month after the flagship was released in the US.
April 19, 2017

HTC recently offered discount codes for its latest flagship, the HTC U Ultra, to Team HTC members in the US, delivering a $150 (20%) price reduction on the new phone (down to $599). Only a few days later, the company announced on Twitter that the same deal was now open to everyone as part of its Spring sale.

The HTC U Ultra was released in the US on March 10 for $749.

HTC has reduced the price of its flagship along with a bunch of other handsets and accessories as it competes with the likes of the Galaxy S8 and LG G6, the latest flagships from South Korean tech giants Samsung and LG. Though a sale to take the edge off new Android flagship releases isn’t necessarily a bad idea (and HTC is also gearing up for another smartphone release soon), the swiftness with which HTC has slashed its most recent phone’s price does suggest it hasn’t been selling very well.

What’s more, this move will no doubt anger the fans who paid full price for the handset only recently.

The HTC U Ultra is getting its first big software update

HTC is likely in recovery mode after announcing a $117 million operating loss in its most recent earnings report (a 13% year-over-year drop in revenue). According to research company Wave7’s Jeff Moore: “HTC has bleak prospects, given lack of availability from T-Mobile and AT&T and weak prepaid availability, while the OEM has (a) tiny share of 2% at Sprint and <1% at Verizon.” This information was noted in a subscriber email picked up by wireless industry insights provider Fierce Wireless earlier this week.

Meanwhile, the HTC 10 was dropped from T-Mobile’s device catalog after just two months on sale in August, 2016, and HTC reportedly laid-off employees in the US late last year. It subsequently revealed that it would cut its smartphone output in half in 2017.

Though it’s a familiar story, things aren’t looking great for HTC right now; what are your thoughts on the company’s recent performance? Is HTC doomed? Let us know your thoughts in the comments.