Facebook Pulls the Plug Across the Pond

Don't let it get away!

Keep track of the stocks that matter to you.

Help yourself with the Fool's FREE and easy new watchlist service today.

The first real Facebook (NASDAQ: FB  ) Phone with Home pre-installed, the HTC First, has officially bombed. The device launched exclusively on AT&T last month, and has fared so poorly that Ma Bell almost immediately slashed the price to $1 and is reportedly looking to discontinue the device as soon as it's satisfied contractual obligations to HTC. Ma Bell had reportedly only sold 15,000 units in the first month.

The First was originally expected to roll out to other countries, but due to its poor performance stateside, that won't be happening. The First's U.K. launch has been halted due to negative feedback in the U.S., and all pre-orders have been cancelled. The device was set to launch exclusively on EE, and the British carrier said that the decision was Facebook's -- not HTC's. The social networker will instead focus on adding new customization features to its new software suite, and addressing user complaints.

This comes at a time when HTC's future is up in the air, and has seen numerous high-level execs abandon ship recently. The First has been an absolute debacle for HTC. Home was reportedly planned as an HTC exclusive on the First, giving it a shot and differentiating itself from other Android phones. At the last minute, Facebook decided that it wanted to make Home widely available through Google Play. An anonymous source at HTC told The Verge that the device was "a disaster."

All the while, Facebook has actually been making the right calls, even if it hasn't translated into positive results. Home is very much an experiment, and launching the software suite exclusively on one device would have limited the experimental reach. Quickly responding to consumer backlash and stopping the U.K. launch is also the right thing to do in order to stop more backlash, even if it's absorbing some of the costs.

The important thing for Facebook is to continue refining its mobile strategy. Home is an ambitious attempt to revamp Android, and Facebook's biggest flaw with Home is execution, not vision.

After the world's most hyped IPO turned out to be a dud, many investors don't even want to think about shares of Facebook. But there are things every investor needs to know about this revolutionary company. The Motley Fool's newest premium research report shows that there's a lot more to Facebook than meets the eye. Read up on whether there is anything to "like" about it today to determine if Facebook deserves a place in your portfolio. Access your report by clicking here.

Read/Post Comments (0) | Recommend This Article (1)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2450350, ~/Articles/ArticleHandler.aspx, 9/30/2016 4:43:30 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 18,308.15 164.70 0.91%
S&P 500 2,168.27 17.14 0.80%
NASD 5,312.00 42.85 0.81%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

9/30/2016 4:00 PM
FB $128.27 Up +0.18 +0.14%
Facebook CAPS Rating: ***
GOOGL $804.06 Up +1.42 +0.18%
Alphabet (A shares… CAPS Rating: *****
T $40.61 Down -0.12 -0.29%
AT and T CAPS Rating: ****