HTC-One-A9-AH-03

HTC to Restructure EMEA Operations in Search of Growth

October 29, 2015 - Written By Tom Dawson

HTC is a firm that’s been looking for a magic solution to their ever-increasing woes for some time now, and while it doesn’t seem like they’ve found one, they are working hard. The release of the HTC One A9 (pictured above) is just one example of HTC looking to spur on growth in the smartphone sector. While their latest device might have received criticism for not being all that original, the market that they’re selling to will gladly purchase such a package. To further growth outside of their domestic market of Taiwan and North America, the company is restructuring their EMEA business.

The EMEA division of HTC has been, up until now, responsible for all sales and distribution in Europe, Middle East and Asia. Now however, the firm has decided to split up these divisions to better focus on key markets within the EMEA belt. The group will be split up into a Western Europe division, to be ran by ex-EMEA boss Philip Blair, an Eastern Europe and Russia division, headed up by Andrey Kormiltsev and finally a Middle East and Africa division to be ran by Nikitas Glykas. HTC has an investor meeting scheduled for October 30th so we’ll more likely hear more about this then.

Splitting such a large division up into three, smaller chunks makes a lot of sense. For example, HTC devices that sell in Western Europe can command a higher price due to the brand’s long history and brand presence. Meanwhile in Eastern Europe and Russia, where there are more mid-range and low-end products available, HTC face fiercer competition for shelf space as well as customers. As for Africa and the Middle East, these are considered emerging markets for the likes of smartphones, and HTC will want to push lower-cost smartphones above anything else. Splitting the EMEA division will allow HTC more freedom to better service the markets that will provide growth for the company. Analysts are already forecasting anywhere from 30% to 40% growth in these markets during Q4 2015, but of course analysts have been wrong before, and they could be wrong once again here.