This week is turning out to be a major disaster for S3.
Earlier this week, the company suffered a major legal setback when US International Trade Commission ruled that Apple was not infringing on their patents.
And now HTC has reportedly said that they are reevaluation their acquisition offer for S3.
HTC had clearly said that they planned to acquire S3 to gain control of the patents that Apple was allegedly infringing. This would have helped them to counter similar patent lawsuits filed by Apple against them.
Now that S3 does not have the patents that can be used to take on Apple, HTC has little use for them.