Every detail involved in selling a new smartphone needed to line up for HTC, and so far that's not happened.
Even if HTC survives beyond two more years, investors and customers will wonder if financial losses will require HTC to cut research and development budgets that could limit HTC's ability to build stylish new smartphones with features that are clearly distinct from a hoard of competitors.
Analyst Patrick Moorhead of Moor Insights & Strategy warned against drawing conclusions about HTC's demise from a single bad quarter, but said HTC will probably need a cash infusion to stay in the game. "They're not dead yet," he said.
Sign up for CIO Asia eNewsletters.