updated 10:52 am EDT, Wed October 9, 2013
Talks claimed to have started in August, could turn HTC around
Lenovo could be planning to take over troubled Taiwanese smartphone producer HTC in the future, according to rumors. The Chinese notebook manufacturer is said to have met with HTC in a secret meeting in late August about the potential acquisition, which could be beneficial to both sides if such a deal can be agreed upon by the two companies.
Taiwan's Apple Daily reports that Lenovo approached the manufacturer after HTC realised it was heading to its first ever quarterly loss since it went public. HTC recently revealed that the net loss of $101 million stemmed from reduced revenues of $1.6 billion for the quarter, a drop of $750 million from the previous quarter alone.
Lenovo, continuing to enjoy growing quarterly revenues and earnings, has previously revealed ambitions to extend its smartphone sales outside of China to the US and Europe, something which acquiring an existing phone manufacturer would help with. At the start of this year, it was also linked to a possible buyout of BlackBerry, though it did not proceed further than the initial talks.