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Letter to HTC shareholders
Letter to HTC shareholders
8
9
The HTC One range of high-end smartphones saw two key launches in 2015. The flagship HTC
OneM9waslaunchedatMWC2015,completewithadual-tonejewellery-gradenishand
integrating a host of new editing eects to enhance photographic creativity and cinema-style
surroundsound.WhiletheHTCOneM9didnotperformaswellasanticipatedinthemarket,
reducing the halo eect on the rest of the portfolio, it packed several new technologies and
experiences that have since become staple features across both the HTC One and HTC Desire
smartphone families.
The HTC Desire range of smartphones performed well throughout the year despite formidable
competition in the mid-range segment, and a number of stand-out, region-specific product
launches over the year enhanced HTC’s brand presence and local market momentum. We were
especially encouraged by their performance in some of the key emerging markets, such as the
MiddleEastandIndia,whereHTCexperiencedsignicantgrowthofsalesandbrandprefer-
ence.
NewYorkinOctober2015sawthewebcastlaunchoftheHTCOneA9atBrooklynStadium.A
slimlinesmartphonepoweredbyAndroid6.0MarshmallowandHTCSense,theHTCOneA9
combinedHTC’siconicall-metaldesignwithahigh-endcamerawithOIS,highresolutionaudio
and the best of Google’s platform for a truly customizable experience. The HTC One A9 was well
received among customers and the media, and the Q4 launch provided sales impetus into the
holiday season.
Over 2015, HTC’s smartphone business undertook a transition from a country-tailored ap-
proach to a global-centric strategy to ensure quality consistency, product stability and time-
to-market schedules. Working in tandem with the connected devices group, the smartphone
businessunithasaclear,targetedroadmapfor2016thatlookssettoonceagainraisethebar
forsmartphonestandards.ThehighlyacclaimedlaunchinApriloftheagshipfor2016,the
HTC 10, raised the bar for design and technology excellence and reestablished the Company as a
leader in the premium smartphone market.
Connected Devices
Fitnessandhealthcareisoneofthetwokeybranchesofourdiversicationstrategy.Partnering
with the strongest brand in the industry, Under Armour®, HTC brings an innovative approach
to fitness technology application that helps athletes gain insight into their health status, reach
theirgoalsandenhancetheirperformance.ThelaunchoftheUAHealthBox™atCESinJanu-
ary2016representstherstcommercialimplementationofthisstrategy.
Designed to capture and clearly present key data through an intuitive user interface, the UA
HealthBoxprovidesthetoolsathletesneedtomanageacompletepictureoftheirhealthand
fitness, including sleep, activity and nutrition, all powered by Under Armour’s UA Record plat-
form.UAHealthBoxcomprisesasleekUABand™forperformancemonitoring,theUAScale™,
aBluetoothandWi-FienabledscalethatmeasuresBMIandbodyfatpercentageaswellas
weight,andtheUAHeartRate™monitorwithinnovativemicrosnaptechnologyforwearcom-
fort. Combining Under Armour’s extensive insight into the fitness industry and HTC’s design
and system engineering capabilities, this partnership looks set to redefine the sector.
Virtual Reality
Virtual reality is a disruptive technology with the potential to impact almost every aspect of our
lives,justasthesmartphonedid,andtheinternetbeforeit.Virtualrealitywillchangehowwe
are entertained, and how we communicate, learn, train and believe.
AtMWCinMarch2015,HTCunveiledtheHTCVive™virtualrealitysystemanditspartner-
ship with Valve®, the strongest brand in computer gaming, to great acclaim from customers and
media alike. Overnight, HTC went from an unknown entity to innovation leader in the nascent
consumer virtual reality space, with a commanding technological lead over its competitors and
a clear vision to bring people and their imaginations closer together than ever before.
Boasting360-degreeroom-scaletracking,highrefreshratesandsuperiorindustrialdesign,aug-
mented by an in-built camera and HTC phone services, the Vive’s virtual reality experience has
ignited the VR world. Now, the experience matches expectation, allowing users to fully immerse
themselves in new environments and feel completely boundless.
VivebecamecommerciallyavailableinApril2016,havingbeenfullyproductizedwithinonly
one year of unveiling the developer kit – a rate of design and technological innovation and
refinement unmatched in the industry. Already, there are many enterprise-focused training,
retail, design, marketing and manufacturing applications across a wide spectrum of industry
sectors, including healthcare, automotive and property as well as entertainment and gaming,
and Vive looks set to define the consumer virtual reality segment in the year ahead.