Investors Sell Shareholdings Despite Previewers’ Excitement Over HTC’s One X+
HTC Corp (TPE:2498), Taiwan’s most valuable company, has revealed the latest rival to Apple’s iPhone 5 – the HTC One X+. The new smartphone will feature a quad-core processor turbo-charged to clock at an impressive 1.7GHz, making it one of the most powerful handsets on the market. Despite lacking a microSD slot, the smartphone will have a more than sufficient 64GB of storage supplemented with an additional 25GB via Dropbox. It is rumoured that the X+ will be the first smartphone to arrive pre-loaded with Android 4.1 Jelly Bean – Google’s latest operating system, expected to be available through an upgrade for older Android handsets.
O2 will be one of the carriers selling the smartphone, which is listed for the price of £479.99 under the “Pay & Go” option or in other words – contract-free. The handset will be available at a significantly lower price with the standard two-year contract. The biggest question for fans right now is whether the X+ will be sold by EE, the only mobile carrier in the UK already allowed to launch the superfast 4G LTE network. If it is on EE’s list, the HTC One X+ will be a serious consumer alternative to the iPhone 5.
!m(/uploads/story/494/thumbs/pic1_inline.png)The Guardian reported today that O2 will be selling the HTC phone without a charger in an attempt to cut down on electronic waste. According to experts’ estimates, out of the 30 million phones sold annually in the UK, 70% of buyers already possess a compatible charger and do not need a new one. “Right now, O2 with HTC has to go it alone on this matter – we both believe in it passionately enough that we can’t wait for the industry as a whole to join us in this crusade. The environmental cost of multiple and redundant chargers is enormous and I believe that, as the mobile phone has become more prevalent, we as retailers and manufacturers have an ever-greater responsibility to be a more sustainable industry.” said O2’s chief executive Ronan Dunne for the Guardian.
Despite exciting technology reviewers, the new details on the HTC One X+ didn’t stop foreign institutional investors from bulk-selling stakes in the Taiwanese company. On Friday 28 September share price dropped to a daily low of 278.50 and closed at 290.50. The sell-off reflected share-holders’ fears that Nokia will sue HTC on charges of copying the design of its Windows 8 smartphone in its HTC 8X device. Intensifying competition in the smartphone market outside the US is also dampening sales projections for the Taiwanese company. At an investors’ conference in July, HTC forecasted third quarter sales between $70 and $80 billion (£43 and £50 billion), down from $91.04 billion (£56.4 billion) in its first quarter.
“Although it is possible for HTC to reach its sales target for the third quarter, the market remains cautious about its sales for the fourth quarter due to stiff global competition. That’s why foreign institutional investors have stayed on the sell side, continuing to dump HTC shares.” said Mars Hsu, analyst at Grand Cathay Securities, as quoted by Focus Taiwan.
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