HTC 2013 Annual Report Download - page 24

BUSINESS OPERATIONS BUSINESS OPERATIONS
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Progress in Research & Development
Since its inception, HTC has invested consistently to solidify in-house R&D capabilities. Today, R&D
professionals account for almost 30% of HTC's headcount, and annual R&D investments regularly represent
3 to 4 percent of total revenues. HTC products are frequent trailblazers, earning a long line of "firsts" that
includes the world's first Windows Mobile and Android smartphones, first dual-mode GSM/WiMAX phone,
first 3G/4G Android phone, and first LTE Android phone. HTC Sense, launched in 2009, was a momentous
breakthrough that revolutionized the mobile phone experience. In 2011, HTC launched several enhanced
cloud and audio-visual services such as HTC Watch ™ and Beats Audio ™ . Such exclusive service features
uniquely enhance and enrich the HTC user experience.
HTC has earned its leading position in the smartphone sector through innovation and exceptional
understanding of industry and consumer trends. Nowhere is this more apparent than in the Android and
Windows Phone markets. In 2011, with markets shifting up to 4G high-speed mobile networks, HTC launched
HTC Thunderbolt and HTC Titan II - the world's first LTE Android and LTE Windows Phone smartphones.
Milestones like these further highlight HTC's leadership in critical technologies.
HTC unveiled the HTC One family at the 2012 Mobile World Congress (MWC). This newest addition to HTC's
portfolio further streamlined the user experience with unparalleled design aesthetics, a best-in-class camera
and high quality audio. The HTC One was the only smartphone in its class with exceptionally high audio and
visual resolutions, the latest version of Android 4.0 (ICS), a fully updated HTC Sense ™ 4 interface, and the
all-new ImageSense ™ enhanced image and video capture functions.
In order to further satisfy the different needs of the market, HTC in 2012 released multiple smartphones that
combined performance and ergonomic design. For instance, the release of the first 4G LTE Windows Phone,
named TITAN II. In addition, HTC also featured the critically acclaimed entry-level Desire series smartphones.
In the high-end space, HTC released 5-inch full HD smartphones, such as the DROID DNA in a partnership
with US carrier Verizon, the HTC J Butterfly in cooperation with Japanese carrier KDDI, and the Butterfly in
China and Taiwan. Together with Microsoft, HTC released the Windows 8X and 8S. HTC continues to give
consumers more choices by partnering with global technology leaders.
At a product launch held in London and New York in February of 2013, HTC unveiled the flagship
smartphone HTC One. The device disrupts the traditional mobile experience, and features a seamless metal
unibody design. The HTC One comes with the latest HTC Sense® that includes HTC BlinkFeed ™ , which
gives the user a real-time dynamic homepage to access global and personal social networks news. HTC
Zoe ™ shooting mode uses HTC's UltraPixel™ - powered camera to bring image galleries to life. It redefines
how people take pictures, play and share precious moments. In addition, HTC BoomSound ™ provides the
industry's best mobile audio experience, utilizing front-facing speakers and dual dynamic microphones.
Add to that a full HD screen, and users can immerse themselves in their music, movies, and games. In
addition, HTC Sense TV ™ allows for the control of most TVs, set-top boxes, and receivers by transforming
the smartphone into a remote control. The HTC One won the Best Smartphone of the Year at the 2014 MWC
hosted in February by the GSMA as well as the iF Gold Design Award in Germany. The awards affirmed once
more that design and innovation are a key part of HTC's DNA.
In October 2013, the user experience of the HTC One (M7) was enhanced even further with the release of
the HTC One Max. A super-large 5.9" Full HD display and metallic construction provides users, especially
business people or avid readers, with a superb reading experience and viewing angle. The back of the one-
piece metallic casing incorporates a fingerprint scanner for high-precision fingerprint recognition that
offers secure login for improved smartphone data protection. Placement on the back of the phone allows
for one-handed unlocking and authentication, creating a truly convenient one-touch unlocking mechanism.
The HTC One Max also comes with a compact HTC Mini+ Bluetooth smart receiver. A thickness of 7.15mm
and T9 keyboard offer users a dialing experience just like using a speaker phone. In addition to using the
physical keys on the T9 for dialing, HTC's smart search function can quickly search contacts for a peerless
fast dialing and search experience. The 1.5" OLED display is synchronized to HTC One Max incoming calls,
missed calls, messages and notifications for swifter response. More importantly, all of these operations can
be completed without having to take the HTC One Max out of the user's pocket, backpack or briefcase.
In addition, for business people giving presentations, the HTC Mini+ equips a laser pointer and infra-red
remote function to integrate with the presentation software to provide business people a very practical tool.
The combination of large and small device perfectly combines the functionality of a large form-factor with
convenience, demonstrating once again HTC's commitment to optimizing user experience to its highest
design principle. Every feature of the product design serves as a testament to HTC's completely user-
oriented design philosophy.
In March 2014, the latest flagship model HTC One (M8) was released in London and New York. The M8
elevates craftsmanship to a whole new level. The new one-piece metal casing covers 90% of the device,
presenting an immense challenge to antenna design. After extensive design and calibration, the M8 is
now the only phone in the world with an all-metal unibody that has passed all carriers testing and is sold
simultaneously through 230 carriers worldwide. The ultra-thin HTC One (M8) with its curved edges and
brushed metal finish offers the ultimate grip and visual aesthetics. The new generation of HTC BoomSound ™
increases 3D sound performance by a further 25%, providing an even more sophisticated sound range and
incomparable 3D sound effects. The proprietary Duo Camera can instantly acquire depth-of-view
information and provide super-fast focusing (300ms) to capture every exciting moment of the user.
The UFocus function can be used to incomparable 3D sound effects. The proprietary Duo Camera can
instantly acquire depth-of-view information and provide super-fast focusing (300ms) to capture every
exciting moment of the user. The UFocus™ function can be used to alter the focus of the images while all
creative photo backgrounds and Seasons animations offer the user an incomparable photo experience.
The new Zoe™ integrates all its functions even more intuitively and seamlessly into the snapshot function.
The original recording pause function allows users to have more control over their images. All of these
advanced camera functions enrich the content and experience offered by HTC's popular Video Highlight
dynamic photo album. Due to the increasing importance of exercise and fitness for modern people, the
HTC One (M8) has an integrated Smart Sensor Hub that intelligently records all exercise activity of the user.
Full integration with Fitbit provides a full record of fitness fun. Combining Motion Launch ™ gestures with
the new Sense 6 (6th Sense) and Smart Sensor Hub, M8 is able to recognize gestures and touch control
tracks to intelligently launch corresponding functions or apps. Examples include sliding to unlock screen in
standby mode, opening the BlinkFeed home screen, opening the function home screen, launching the voice