Amidst reports that HTC’s settlement with Apple and newly formed licensing deal will cost the company between $6 and 8$ per handset, HTC’s CEO had something to say. Describing the analyst estimates as “outrageous,” Chou took the opportunity while speaking at the KDDI product launch in Tokyo to discuss the rumored cost.
“I think that these estimates are baseless and very, very wrong. It is a outrageous number, but I’m not going to comment anything on a specific number. I believe we have a very, very happy settlement and a good ending.”
Nevermind the fact that Chou is the CEO and the first person we would believe on this matter, but he also spear-headed his company’s negotiations with Apple over the licensing deal, which makes his comments all the more relevant.
The $6-$8 numbers surfaced when Shaw Wu, analyst at Sterne Agee speculated based on “conversations with industry sources” how each company was making out as a result of the settlement.
Thankfully, Chou took the opportunity to rebut the number and let us know that even HTC, in all its desperation to keep its head above water isn’t foolish enough to pay the “Apple Tax.”