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Exclusive: HTC Quitting Brazilian Market, Halting Sales of All Phones

Authored by: Steven Blum — Jun 21, 2012

According to a spokesperson for HTC contacted by AndroidPIT, the company will be "completely shutting down their operations in Brazil," letting go of dozens of people and stopping the wholesale of their devices immediately. The new HTC One line will not be launching in Brazil at all.  The company has promised they will continue supporting existing customers, including with replacements and repairs.

"After analyzing the sales numbers, we have decided to pull out of the Brazillian market," said an HTC public representative in Brazil to AndroidPIT. HTC has been losing marketshare for years since they stopped producing phones in Brazil. The company  faced tough competition from Samsung and Nokia, especially among upper-tier smartphone shoppers.

Brazil is the world's sixth largest economy and recently passed Germany and France in number of smartphones, with over 27 million owners. It seems strange that HTC would want to abandon this market, although it could have something to do with their recent announcement about no longer creating budget phones.

This story is developing. Check back for more information soon.

Steven Blum has written more than 2,000 blog posts as a founding member of AndroidPIT's English editorial team. A graduate of the University of Washington, Steven Blum also studied Journalism at George Washington University in Washington D.C. for two years. Since then, his writing has appeared in The Stranger, The Seattle P-I, Blackbook Magazine and Venture Villlage. He loves the HTC One and hopes the company behind it still exists in a few years.

3 comments

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  • CJ Brown Jun 25, 2012 Link to comment

    I'm sure there are more reasons why; but to be honest? In order to stay in business ... Companies have to think about the cost of manufacture according to supply & demand (& the subtle hint that HTC does not want to make budget Smart Phones says enough - Brazil may have a thriving economy, but a majority of the population can not afford to purchase expensive electronic goods) ...

  • Yan Matusevich Jun 22, 2012 Link to comment

    this came out of nowhere....kind of

  • ahamed Jun 22, 2012 Link to comment

    wow