ASUS winds down smartphone line as Zenfone inventory sells out, shifts focus to AI hardware
ASUS smartphones have largely disappeared from major retail channels, with distributors saying the final batch of inventory has sold out and chain retailers no longer plan to restock. The remaining sell-off covered the Zenfone 11 Ultra and Zenfone 12 Ultra, while ROG Phone inventory had already dried up earlier in the year. ASUS had said at the start of the year that it would gradually step back from the smartphone market and stop launching successor models for both the Zenfone and ROG Phone lines. Chairman Jonney Shih said on Jan. 16 that the company would continue supporting existing smartphone users, but would not add new models and would reallocate resources toward AI, which he described as having greater strategic value. The report also said discounted pricing had attracted attention, with the Zenfone 11 Ultra falling to NT$16,990 after another NT$2,000 cut in September, marking a cumulative decline of 43%. HTC is moving in a similar direction. Senior Vice President Huang Chao-ying said in September that the smartphone business would "temporarily take a back seat," though the company could revisit the category if a new technological breakthrough emerges. HTC’s U24 pro, launched in June 2024, is now nearing the end of its sales cycle, with only double-digit inventory left in retail channels. Meanwhile, VIVE Eagle AI glasses, launched in 2025, have generated more revenue this year than HTC’s smartphone business, according to the report.
