HTC plans to compete against rivals and turn around its struggling fortunes by using Beats Audio’s streaming music and wireless boombox features to beef up its smartphones and tablets.
The handset maker’s streaming service would be the default music service on HTC devices, and pricing and plans are in negotiation, according to GigaOm. HTC has yet to comment on the service.
HTC’s focus on a unique, first-class streaming music service highlights its interest in entertainment and gaming software, and speaks to its decision to focus on a limited number of quality products, carving out a unique place in the high-end smartphone market with one-of-a-kind entertainment advances.
HTC continues to lean on media and entertainment in an effort to regain its momentum in the market, after announcing last quarter’s lagging earnings after a surge of success in previous years.
The Taiwan-based company acquired stakes in Dr. Dre’s and Jimmy Iovani’s music company last year, gearing up for a concentrated leap into top-tier mobile music technology. The alliance gives HTC credibility among U.S. music enthusiasts, as Beats Audio enjoys a devoted following and strong reputation among audiophiles.
The two companies also partnered for the Rezound smartphone for Verizon Wireless, which packages the coveted headphones with the handset but doesn’t feature unique integration.
HTC is taking measures to lure gaming enthusiasts as well as music lovers, too. The handset maker gained Sony’s PlayStation Certificate, an agreement made to attract serious gamers to the Taiwanese company. The PlayStation grab is one of many content deals struck by HTC’s team as it searches for differentiating features.
HTC’s collaboration with Beats faces stiff competition from music streaming services like Spotify and Pandora, most of which are available as free applications on Android and iOS.
HTC’s comeback strategy hinges on its new entertainment and gaming offerings’ popularity. The company’s decision to focus on creative software displays a shrewd grasp of the current market, and the move is part of its larger strategy to diversify its software roster. HTC likely hopes a unique music service and advanced gaming credentials will propel it past competitors.