HTC in crisis after Facebook betrayal leads to First failure

Mobile phone manufacturer HTC are said to be in a state of crisis, following incredibly poor sales of their HTC First handset, preloaded with the Facebook Home interface.

According to the The Verge, HTC had been promised a period of exclusivity with the social networking giant’s new Facebook Home software, the key selling point of the mid-range HTC First handset. However, Facebook went back on the promise releasing the software to the public through the Android Play store within a week of the First going on sale.

The handset is now said to be “hovering near death” with retail partners, with contract prices dropping dramatically from $99 to just 99 cents.

As a result, HTC are now said to be haemorrhaging key staff, with HTC’s Chief Product Officer, Kouji Kodera, the latest high-profile loss.

And, despite critical acclaim, HTC’s flagship HTC One handset has failed to pick up significant momentum, a mixture of supply shortages and continued pressure from the mighty Samsung Android line-up harming the mobile’s sales.

With that handset heralded as the struggling firms knight in shining smartphone armour, and with HTC CEO Peter Chou stating he’d resign should the company’s latest product line-up fail, the company may soon be on the hunt for a new boss, and a new strategy.