Analyst: Component shortage threatens launch of HTC M7

Even though the next flagship phone for Taiwan based HTC has not yet been introduced, there is speculation that a component shortage will threaten to reduce the number of units of the HTC M7 that will be available at launch. Citigroup analyst Kevin Chang wrote in a note to investors that the "low yield rate of some components such as metal casings and antennas," are negatively impacting the number of phones that will be shipped. Chang now expects 500,000 HTC M7 handsets to be shipped in Q1, down from initial expectations of 3 million. Chang has continued to keep a "sell" rating on HTC's stock.  

Will a component shortage make the HTC M7 hard to find?

The HTC M7 is expected to be equipped with a 4.7 inch FHD screen. That works out to an industry leading 468ppi pixel density. As a comparison, the Apple iPhone 5 has a 326ppi and the Samsung GALAXY S III has a 306ppi pixel density. The camera will be marketed as using Ultrapixels which is HTC's term for a process of using three 4.3MP layers in one camera sensor to produce sharper pictures with better color reproduction. 

HTC is expected to introduce the phone during a February 19th press event. If the talk about a component shortage is true, we certainly would suggest that those interested in the device pre-order it as soon as possible. A launch could take place shortly after the phone is unveiled.