Company official: the low-end market, not really profitable

Nov 5, 2014 08:58 GMT  ·  By

Low-cost tablets are everywhere these days, whether with Android or Windows, and their average price is dropping at a fast rate.

After being away from tablet making for a really long time, HTC has returned to the market alongside Google with the Nexus 9 tablet, which is a premium device for those who have a few bucks in their bank account.

Where does HTC go from here?

But now that the Nexus 9 tablet has been released, people have started wondering about HTC’s next move in terms of tablets. Some voices raised speculation saying that the Taiwanese company will be targeting the low-cost tablet segment, given that there’s a wide demand for such products.

However, this is not how HTC sees things. According to the company’s North Asia President, Jack Tong, who was spoken to CNA, the low-cost tablet ecosystem does not make for profitable business.

It might sound counter-intuitive to some, but according to Tong, there’s more room for growth and product differentiation in the high-end and mid-tier tablet segment.

The company already confirmed its plans of releasing its own-branded slate(s) next year, so now we know we shouldn't be expecting any of them to be of the super-affordable variety.

HTC returns to tablet-making for good

The 8.9-inch Nexus tablet marks HTC's return to the land of the tablets, after three years of being an absentee. At some point, it was even said that the company would be abandoning tablet-making for good, in order to better focus on smartphone design, but luckily this rumor turned out to be a false one.

As for the new Nexus 9, you should know the tablet has just made it to the Google Play Store and other online retail locations, so you can go ahead and place your order for one.

Also, Google has just posted the Android 5.0 Lollipop factory images for the Nexus 9 and you can go ahead and download that too.

After the partnership with Google, HTC is expected to look towards new co-branding opportunities where new potential can help HTC reach its potential tablet-wise and not only.

For the time being, we have no information about what HTC might be cooking up tablet-wise, but given the fact a company representative mentioned that market positioning of 7-inchers had been blurred by the advent of large-screen smartphones with 5.5-inch displays, we can assume HTC will continue to focus on larger models.

And given that most manufacturers launched or are in the process of producing 12-inch or 13-inch tablets, it wouldn’t be a shock if HTC were headed down the same path.