HTC apparently has decided it doesn't want to fight an injunction from an Amsterdam District Court that prevents it from buying a certain microphone for its new flagship One smartphone. The issue surrounds a supplier called STMicroelectronics, which apparently was not authorized to sell the part to HTC thanks to an agreement with Nokia.
In a statement, HTC first offered reassurances that it would continue to have supplies for the One, saying that it could continue to use the microphones it has already purchased "because they were purchased in good-faith." The company also added that "Nokia's attempt to obtain a recall of microphones already sold to HTC failed." HTC was also eager to clarify that Nokia didn't take legal action against HTC directly, but rather only against STMicroelectronics. Nokia, for its part, has previously said that "HTC has no license or authorization from Nokia to use these microphones or the Nokia technologies from which they have been developed" and clearly is pressing hard to ensure that's the case.
Although that all sounds like good news for HTC, it doesn't appear that it is planning on fighting for continued access to the microphone. The injunction it received from the court lasts until March 2014. HTS says that it "will transition to improved microphone designs once its inventory of STM microphones is exhausted."
The One's global launch is vital to the company and alongside having to face juggernauts like Samsung's Galaxy S4, HTC also is having supply chain troubles — with some suppliers reportedly not treating the company as a "tier-one customer." HTC needs to do everything it can to make the phone a success, though, as the stakes are high enough that the Wall Street Journal reported that its CEO Peter Chou promised to resign if the One doesn't turn things around.