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Chronicles

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HTC brings four more wallet-friendly Desire phones to the US

If you haven't seen of HTC's wallet-friendly Desire phones in the wild, you probably will soon — they've been doing great for the ailing smartphone maker overseas and they're picking up steam on our shores, too.

Engadget Chris Velazco

Context & Ripple Effects

This launch lands at a rare high point for HTC: the quarter before, the company had posted its first sales growth in three years, and management credited exactly the kind of affordable hardware now crossing the Pacific. With its flagship business struggling, the Desire line is being positioned as the volume engine that keeps the brand on shelves.

It also arrives into a US market already shifting off subsidies — Huawei announced plans months earlier to bring contract-free Honor smartphones stateside, targeting the same buyer. Seen against later coverage, the move reads as the peak of HTC's budget push: by 2017 the company would exit the entry-level phone market entirely to chase high-end, high-margin devices.

First-order effects

  • US shoppers gain four new low-cost, largely off-contract Desire options, giving prepaid and no-subsidy buyers a familiar Western brand alongside Huawei's incoming Honor lineup.

Second-order effects

  • Huawei's contract-free Honor push now faces direct competition from HTC in the same budget tier, pressuring both to compete on price rather than carrier relationships.

Third-order effects

  • The arc from this 2015 expansion to HTC's 2017 retreat shows why: thin-margin budget phones demand scale HTC never reached, pushing it toward premium niches like the U12+ and eventually VR hardware while the value tier consolidates around higher-volume rivals.

The trend: The mid-2010s Android market shifted toward off-contract budget phones as carriers ended subsidies — a wave HTC rode briefly before exiting the entry level to chase margin over volume.