Technology brand HTC has hit back at rumours that it has closed any of its manufacturing lines due to weak demand for its products. Although few details about the plans have emerged in the media, the company initially denied it was shutting down any production and declined to comment on allegations it intends to outsource manufacturing, reports PC Pro.
If you know somebody who owns a HTC device, make sure that they keep it protected with a customised case or cover
An article by the technology publication quoted an email sent from the brand following allegations from Reuters, which said: "HTC is not shutting down nor has plans to sell any of its factory assets.
"HTC has a very strong balance sheet and will provide the latest financials in our upcoming earnings call to investors and the broader community."
Earlier this week, the news agency reported that HTC has halted at least one of its four main manufacturing lines, which accounts for around a fifth of its total capacity.
It suggested the company is planning to outsource production, as a sales slump puts pressure on its finances.
A reporter who visited the factory at HTC's former Taoyuan headquarters saw loading docks with shutters covering them, which was covered in a sign on a locked lobby door that said: "Lobby is temporarily closed for use. Thank you for your co-operation."
HTC usually received rave reviews for its products, despite lackluster sales. In recent months, it has expanded its range to include smaller and larger models of the One.
In addition, it has hinted at the release of further products, including a wearable item and a tablet computer.
When quizzed by Reuters about the production line, Ben Ho - chief marketing officer - said the company's manufacturing process demands on demand from international markets.