Mar 19th, 2013

The component shortage that has forced HTC to delay their flagship One handset is the direct result of of the Taiwanese company’s dropping position as a power player in the mobile industry, The Wall Street Journal reports. Component suppliers no longer view HTC as a “tier-one customer” after wavering revenues have forced the Android phone maker to regularly alter order forecasts.

The main issue has been sourcing components for the One’s new UltraPixel camera as well as its metal casing. Despite HTC putting all of their efforts behind their latest handset, suppliers aren’t prioritizing the device or its manufacturer, which has seen more than a year’s worth of declining profits.

The situation has gotten so bad that Peter Chou is putting his own job on the line. The CEO of HTC has reportedly informed other senior executives that he will relinquish his post if the One flops. It makes the name all the more fitting, as this might be HTC’s one last shot at pulling out of a skid that could ultimately doom business.

[via WSJ]

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