Knowing China through Taiwan

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HTC plans comeback after resolving legal issues with Apple

  • Staff Reporter
  • 2012-11-14
  • 16:34 (GMT+8)
HTC smartphones. (Photo/Hung Hsi-lung)

HTC smartphones. (Photo/Hung Hsi-lung)

Taiwanese smartphone maker HTC's recent settlement with Apple over patent infringements will allow it to focus on making a comeback, reports Chinese web portal Sina.

Since Apple has managed to hurt HTC's market share by taking legal action against the company, which was the top smartphone vendor in the United States with a 23% market share two years ago, Sina said the American company would now concentrate on its battle with Samsung.

As of the third quarter of this year, HTC's share in the US smartphone market had fallen to 14%, behind Samsung and Apple.

The settlement, which included a dismissal of all lawsuits between the two companies since March 2010 and a 10-year licensing agreement over current and future patents held by both parties, could benefit HTC in several ways, Sina said.

"HTC is pleased to have resolved its dispute with Apple, so HTC can focus on innovation instead of litigation," the company's CEO Peter Chou said in a joint statement with Apple.

With the patent disputes out of the way, HTC now has an edge over Samsung and could also further advance its development after gaining access to Apple's technology, Sina said.

HTC chairwoman Cher Wang has said several times in recent interviews that the company plans to enhance the marketing of its products and especially highlight the technical qualities of HTC's smartphones.

HTC will continue to rely on the Android operating system, which is used in 75% of smartphones, as part of its comeback plan, Sina said, while its rivals that also use the system, including Samsung and Motorola, are entrenched in their own legal battles with Apple.

In addition, Microsoft's promotion of two new HTC phones running the new Windows Phone 8 system also shows HTC's success in mending ties with the software giant, especially as Microsoft has a strategic partnership with Nokia, Sina said.

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