HTC plans to shift its focus to emerging markets and selling low-end phones in China in light of lower-than-expected first quarter earnings, Reuters reports. In a call to investors on Monday, HTC chief financial officer Chang Chia-Lin said the company would offer a cheaper smartphone in China — in the price range of 1,000 to 2,000 yuans — and would continue to tackle emerging markets like Myanmar, where HTC recently launched a phone with local fonts.

Just one month ago, HTC CEO and co-founder Peter Chou told The Wall Street Journal that this year would be a turning point for the company, and that "the worst for HTC has probably passed." However, judging by HTC's disappointing predictions for its Q1 revenue, the company has yet to pull out of its ongoing slump. HTC expects its first quarter revenue to fall between $1.69 and $2.03 billion (NT$50 to NT$60 billion), compared to $2.03 billion last quarter and $2.22 billion one year ago.