HTC stops sales, operations in Brazil

The company plans to lay off workers at its South American operations and discontinue the wholesale of devices, according to a report.

HTC is pulling out of Brazil after failing to capitalize on the growing market, blog AndroidPIT reported today.

According to the blog, the company is shutting down operations in Brazil, laying off dozens of workers, and stopping the wholesale of its devices. HTC has promised to continue its customer support in the market, AndroidPIT said.

The company did not immediately respond to an e-mail from CNET, but an HTC representative told AndroidPIT that the company made the decision after "analyzing the sales numbers." When we hear back from HTC, we'll update this post.

HTC hasn't been doing well in the U.S. or European markets. U.S. sales hit a wall with Apple's successful bid to see HTC phones held up at the border after a patent infringement claim.

Brazil may mark another failed opportunity. Some analysts think Brazil will become the world's fourth most important market for smartphone sales by 2016, eclipsing the U.K. market, The Verge pointed out. Unfortunately for HTC, the company's phones have not faired well in Brazil. HTC had a total market share of 0.11 percent in the first quarter of the year, leaving it behind Nokia, Samsung, Apple, Sony, LG, Motorola, RIM, and ZTE.

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About the author

Donna Tam covers Amazon and other fun stuff for CNET News. She is a San Francisco native who enjoys feasting, merrymaking, checking her Gmail and reading her Kindle.

 

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