HTC will likely stop developing new Windows Phone 8 smartphones since its market share is low and will put more focus on Android, claims a new report.
The company had been an OEM for many smartphone makers years ago, but eventually decided to enter the market with its own-brand hardware. HTC was known for its design and innovation and had once been the largest manufacturer of smartphones running Microsoft's Windows Mobile smartphone operating system. This was also around the time when Apple launched the original iPhone and Google soon followed with smartphones running Android. Microsoft saw its market share decline with the two new players in the smartphone world and the company announced that it would build its next-generation smartphone operating system from the ground up.
HTC and Samsung both announced at the time that they would release smartphones running Windows Phone 7. Both companies also got more serious about Android during Microsoft's transition from Windows Mobile to Windows Phone 7. Nokia was struggling with its own smartphone OS, Symbian at the time.
Microsoft continued to lose market share and by the time it launched Windows Phone 7, iOS and Android's lead had dramatically increased. Microsoft also entered a relationship with Nokia that would see the Finnish company use Windows Phone as its exclusive smartphone operating system. This deal also allowed Nokia to customize Windows Phone more than Microsoft allows any other of its licensees and Nokia's Lumia line of smartphones based on Windows 8 was well-received. This is also the reason Windows Phone has increased its market share and has become the third most used smartphone operating system. On the other hand, this close relationship between Microsoft and Nokia is also one of the reasons why HTC will reportedly start to distance itself from Microsoft and stop making Windows Phone smartphones.
According to a new DigiTimes report, HTC has seen its share in the Windows Phone 8 market drop to below 5 percent, while Nokia retains a huge lead with 80 percent market share, followed by Samsung. As a result of its low market share, the company will begin to focus more of its attention on Android, claims the report. HTC most recently cancelled a planned Windows tablet, which might add more truth to this rumor.