Intensifying Android Competition Poses Threat to HTC’s Outlook

Competition in the Android-powered smartphone market is intensifying, as more and more international manufacturers have joined the battle to scramble for profits. Due to this reason, the business outlook of HTC, the Taiwan-based handset maker who takes the lead in the Android market, may not be looking very good for the fourth quarter of 2009.

One year ago, when everyone was unsure about the profitability of Google’s Android mobile operating system, HTC was the only one who saw the potential. It introduced the first Android-based smartphone, the HTC Dream (also known as T-Mobile G1) and later the HTC Magic (also called T-Mobile myTouch 3G), which both gained great popularity and earned the open mobile platform with good reputation. Android has quickly emerged as one of the better systems with a strong application store.

Following HTC, in the last few months, a number of manufacturers have decided to take the plunge and announced for their Android-based phones. For instance, back in June, Samsung has released the Samsung i7500 in Europe as its debut Android smartphone.

More recently, Motorola has been trying to steal the spotlight by unveiling its first Android-powered handset, Motorola Cliq, which will be available in the fourth quarter in the US. Similarly, LG announced that its debut Google handset, LG GW620, would come out in the same quarter in selected European markets. Last but not the least, Sony Ericsson Xperia X3 is due for release in December this year as well.

Facing such keen competition, analysts believe HTC may still count on wireless carrier Verizon as well as Google to help sustain its revenue for the rest of the year. It is expected that Verizon will work with HTC to launch its first smartphone running Android, the HTC Desire. Meanwhile, HTC and Google are rolling out the next-generation Google handset, the Passion, in the coming quarter. As before, HTC will also continue to work closely with T-Mobile in the US and Europe to secure its market share.

It is still unsure whether HTC could retain its leading position in the Android business, but fans of Google’s mobile platform will be delighted to see the new availability of Android smartphones made by different manufacturers one by one.

Tags: HTC Accessories, T-Mobile myTouch 3G (HTC Magic) Accessories, T-Mobile G1 (Google Phone) Accessories, Motorola Accessories, LG Accessories, Samsung Accessories, Sony Ericsson Accessories