HTC may not have any plans to close up shop in 2016, but the company's plans to reduce overall operating costs by 35% has led to the sale of its Taoyuan City factory and property. The assets have been sold to Inventec for $174 million, but HTC is planning to relocate its employees that still work at the factory. In 2013, HTC temporarily stopped smartphone production line at its Taoyuan City factory due to slowing sales of HTC phones.
During the third quarter of this year, HTC announced that its overhead reduction plan would lead to layoff of 15% of its employees, leaving nearly 2,000 people without jobs. While making massive cuts to its work force and selling a factory may seem like dramatic measures to take, they are required sacrifices that need to be made if HTC plans to survive in the current environment. Hopefully, HTC's 2016 flagship can help turn the tides a little and allow HTC to pull its head above water.
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