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HTC to cut ties with O2 and i-mate?!

, posted: 20-Sep-2006 09:57

Well I can't say this is not to be expected... seeing that HTC has decided to direct with branding and manufacturing. This could mean that HP and Dopod will be pretty doomed in terms of getting HTC manufactured products. However, one thing surprises me is that, isn't Palm also outsourced their manufacturing to HTC? So if so, won't this could virtually mean something "might" be happening with HTC and Palm? If not then why HP may be in the cut?

Anyhow, this is reported at SmartphoneThoughts.com and PocketPCThoughts.com, which got the feed from CNet.






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Comment by antoniosk, on 20-Sep-2006 21:57

Too much power with one supplier Kelvin. HTC went from a nothing company when they sold Wallaby to O2, to a company dictating terms and generally becoming difficult to work with. When T-Mobile and Vodafone began upping the ante and ordering large quantities, they squeezed out operators who used to be able to negotiate small minimum commitments.

O2 is working with Asustek and Qanta, both of whome will work hard for 2-3 years establishing their brand and ability. Then they too will become deluded and only deal with the big order makers, thinking that's how to drive volume.

There's a strong lesson most people in business know - you need many clients and can't be reliant on 1-3 big contracts. When you are, you have no power at all, and your customer knows that.

Dopod is run by the wife of Peter Chow, and peter runs HTC. Note there is little market overlap between where HTC and Dopod are....


Author's note by chiefie, on 21-Sep-2006 08:46

Oh! interesting background there! So could probably see Dopod be "consumed" back into HTC.

This will leave i-mate open and possibly look into partnership with TechFaithWireless. I guess with HP, they'll probably deal with Quanta too?

So who is making HP's PDA/Media Companion these days? How about Palm's Treo? Thought HTC was/is their manufacturer for their devices?


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