▼ Executives' loss of performance, loss of HTC switched to VR can take this opportunity to regain the situation? From Baidu VR The departure of HTC executives is no longer news. On February 1st, HTC Global Vice President Jason Mackenzie (Jensen McKenzie) announced that this was his last day at the company. Then HTC PR confirmed that Jensen had indeed left HTC but had not yet known where it was going. It is worth noting that Jensen is just one of the top executives who have recently left HTC. In 2016, HTC Senior Citizen Zhou Yongming and Vice President of HTC Global Public Relations Lorain Wong and others left, and Claude Zellweger, who is responsible for HTC Vive's design work, also switched to the Google Daydream camp in early 2017. According to incomplete statistics, in the past two years, nearly 10 executives have left the HTC mobile phone business line. What makes HTC executives leave one after another? HTC once created brilliant results, because in the end what kind of problems were once caught up in the “HTC demise theory� In the fast-changing smartphone market, HTC no longer glory, how to When executives frequently go out of their way to make a comeback? The decline in performance led to the departure of executives? Like Zhou Yongming, who has already left, the deputy global vice president who left this time is also working for several years at HTC. According to statistics, Jensen joined HTC in 2005 and has been working for HTC for 12 years. He has served for a long time as president and chief operating officer of HTC’s North American operations; he was also promoted to an executive vice president a year ago and oversaw the company's global business operations. During his tenure, he repeatedly made HTC platforms in public and opposed Samsung. However, the 12-year period did not allow Jensen to stop and leave. He became the second HTC CEO to resign in 2017 after Claude Zellweger. On February 1st, Jensen announced that “Today is his last day in the company†and expressed his thanks to former CEO Zhou Yongming and current CEO Wang Xuehong. However, neither Jensen nor HTC announced the reasons for leaving the company and the subsequent development. However, in the industry's view, Jensen and many executives left HTC, the departure is related to HTC's current dilemma. "The decline in performance, the relevant responsible executives must bear certain responsibilities; while the performance of listed companies is not good, the executive's salary will also make adjustments. And so, it is better to find a good place." Analyst Liang Zhenpeng guessed to , "The performance has a great influence on the compensation of regional executives." In response, the reporter called HTC to inquire, but only responded: "I do not want to publish any news on this matter." However, it is not difficult to guess from HTC chief marketing officer He Yongsheng’s statement that operating performance is almost one of the reasons why HTC executives leave the company: “Some of the senior executives have recently left because of various factors. It’s not all negative. It’s the most important. It's about operating results." According to industry insiders, HTC mobile phone shipments totaled only 10 million units in 2016, even less than Huawei and Xiaomi’s quarterly sales. According to the latest 2016 annual report released by HTC, the company’s 2016 revenue was NT$78.16 billion, a 35% drop from the previous year. Not only did the annual revenue fail to reach the NT$100 billion mark for the first time, but it also set a record for the lowest revenue in 11 years. The decline in performance results in losses. As of August 2016, HTC has suffered losses for five consecutive quarters. In the five quarters, it has accumulated a loss of 23.1 billion Taiwan dollars (approximately 4.85 billion yuan). The huge amount of losses caused a strong concern in the industry. Switch to VR or hard to redeem As the performance continues to decline, HTC itself is also aware of the hardships in the field of mobile phone breakthroughs, and has already set its sights on the market's hot VR early. At the Mobile World Congress in Shanghai 2016, HTC once again announced its great investment in VR. The company will join hands with 28 venture capital companies to establish the Virtual Reality Venture Capital Alliance, or VVRCA for short, with an investment of US$10 billion. “Although VR has been hot in the industry, its industry maturity is far behind that of the smart phone industry. The profit model is still in the process of exploring. Opening new industries requires core technology, abundant capital, and sufficient brand influence.†IT independence Commentator Sun Yongjie analyzed this. Liang Zhenpeng also holds a similar view: "VR is only a small product line, unlike mobile phones, computers and television and other necessities, only leisure and entertainment functions, use value is small. VR market capacity is limited, but too many companies give birth. There is a limited ability to save HTC performance." According to a recent SuperData report, the VR industry generated $1.8 billion in revenue in 2016, and shipped 6.3 million VR devices throughout the year. Among these, Samsung ranked first, with shipments reaching 4.51 million units. In contrast, HTC Vive only contributed 420,000 units of shipments, it is difficult to expect Samsung to back. If the sales unit is multiplied by the unit price of Vive799, HTC Vive generates revenue for the group of approximately 336 million U.S. dollars (about 2.2 billion yuan), and the group’s total revenue of 78.16 billion U.S. dollars (about 15.72 billion yuan). The difference is very large. Wang Yanhui, secretary-general of the China Mobile Alliance, expressed to reporters: “The decline of HTC is no longer a day or two. It has long since lost the opportunity to continue its development in the field of smart phones. Selling the mobile phone business, losing the brand's burden, returning to the old line, transformation Doing OEM is perhaps the best way for HTC." Liang Zhenpeng also believes that although HTC has succeeded in drinking the “head soup†of smart phones, it has not maintained its previous advantages. Just like Motorola, the original inventor of the mobile phone, and giant Nokia in the feature era, it has gradually declined in the fierce mobile competition. According to reports of foreign media gsmarena, HTC's Android Wear system smart watch has long been abandoned, and the previously revealed “Android Wear system smart watch for HTC and sports brand Under Armour†was also postponed or cancelled long ago. At the "ForU" new product launch conference on January 12, 2017, HTC released three new models, but according to Chialin Chang, president of the company's smartphone and networking equipment business, HTC will not look like in 2017. In 2016, the use of sea tactics will be adopted, and only six to seven mobile phones will be introduced. "Now the smart phone market has changed its genes, and it is difficult to open the market by relying solely on low-end prices and high configurations in the past. To make an explosion-proof mobile phone, we must seize the pain points in positioning, image design should attract eyeballs, and channels must be unblocked." Liang Zhenpeng said. With the rise of many domestic mobile phone manufacturers such as Huawei, Xiaomi, OPPO and vivo, the smart phone market has become fierce. It may not be easy for HTC to find back the lost domestic market.