When you’re a company that has been steadily seeing increased losses every quarter, cost-cutting is something that becomes paramount in order to keep things running as smoothly as possible with the resources at hand. HTC is one such company, a manufacturer that has seen its market share decline from over 10 percent to below 3 percent worldwide, and according to the Wall Street Journal, the Taiwanese manufacturer will soon be outsourcing production of its mid-range smartphones.
According to WSJ, three models in the Desire line have been outsourced to Compal Electronics Inc of Taiwan and Chinese manufacturer Wingtech Group, though HTC will be keeping production of the Desire 816 and its One series in-house. The move will help HTC cut costs while increasing focus on emerging markets, which are expected to provide most of the growth for mobile companies in the coming years as developed markets reach saturation. Of course, whether this actually helps HTC turn around its flagging fortunes is something that remains to be seen, but it is good to see the company is taking the necessary steps to at least try and stay relevant.