Tuesday, 16 July 2013

HTC Will Likely Merge With Huawei

HTC Will Likely Merge With Huawei: Financial Report 2nd quarter of recent HTC shows the business situation of the company declined 2.5 to 3%.
HTC Will Likely Merge With Huawei
According to analyst Alvin Kwock from JP Morgan Securities Ltd. said, HTC Corp. may consider a merger with Chinese manufacturer Huawei is to enhance the market competitiveness of smartphones

Mr. Kwock said that a product such as HTC One can not help to overcome the difficulties, the merger is necessary at this time.

The merger between the two companies could help create a new business high positions in industry smartphone . 

According to a study made ​​by Gartner is Huawei hold 3% market smartphones in Q1/2013 the company that became the 6th largest producer in the world. Despite the presence of the One but HTC has been pushed back more than 2% market smartphones globally.

With this situation the merger will help the company alliance 2 about 5% market share of smartphones worldwide ahead of LG is currently ranked No. 4 with 3.7% and ZTE ranked No. 5 with 3.7%. However, this alliance will still be standing after Apple (9%), Nokia (14.8) and Samsung (23.6%).

But the market is not the only benefit after two companies were merged together. Analysts said that the two companies merged and will help increase competitive. 

Currently HTC is the manufacturer of the products with superior quality while Huawei holds the majority market in China. Between one thing in common when they are a heavy competition for other manufacturers in the industry producing smartphones .

HTC is also trying to reach out to a market that demands strong enough to help the company develop in a sustainable way. And it looks like Huawei is a candidate most likely.

Of course, this is only a prediction from the analysis because so far there is no information about whether HTC and Huawei were on the table to negotiate a merger agreement. 

But clearly the merger also promises to help consumers can expect more on quality products with attractive price.


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