A few days ago, BlackBerry announced their financial report for Q2 2016. From these reports, many things have come to light. The question is, ”

BlackBerry Chronicles: A resurgence or impending oblivion?

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A few days ago, BlackBerry announced their financial report for Q2 2016. From these reports, many things have come to light. The question is, ” Have BlackBerry done right?” Is this a move to resurgence, or are we expecting a nose dive into oblivion?

BlackBerry

First, let’s look at the highlights of the report before we try to speculate on what may or may not be:

  • Value of shares depreciated by $0.13 per share.
  • Revenue breakdown for the quarter; 15% for software and services, 41% for hardware, and 43% for service access fees (SAF).
  • Only about 800,000 BlackBerry smartphones were sold.
  • Operating cash flow minus capital expenditures hit $100 million.
  • Completed acquisition of Good Technology for $425 million.
  • Completed acquisition of AtHoc for $250 million.
  • Confirmation of launch for Android based BlackBerry PRIV.
  • Confirmation of upgrade for BlackBerry 10 phones. New version 10.3.3 scheduled for March 2016.

Despite the huge financial losses and the other steps BlackBerry has taken, there is cause for optimism. In the words of CEO, John Chen:

“From these initiatives, we anticipate modest sequential revenue growth in each of the remaining quarters of fiscal 2016.”

The company acquired a strong competitor in Good Technology. The firm compliments BlackBerry, most especially offering Enterprise Security solutions in iOS – a platform where BlackBerry formerly had no leverage on. The second acquisition of AtHoc, brings a cross platform crisis management solution to Blackberry. This secure, networked crisis communications helps organizations and people to connect and share information in times of crisis.

All these software solutions help cement Blackberry’s stand as the best in terms of mobile security – a feature attractive to government agencies, and enterprise markets. Hopefully, this will significantly improve Blackberry’s enterprise usage over the coming months.

The average Joe is eager to see what Blackberry truly pulls off with the PRIV. The future of the company is greatly hinged on the market reception of that device. Analysts have suggested that Blackberry totally migrate to making Android devices, but that is really tricky. With that move, they stand a chance of losing their enterprise business because it might make BlackBerry less secure.

On the flip side, switching to Android will make Blackberry stronger in the hardware end of things and also save them cost and expenses already placed on their Blackberry 10 platform.

Looking at all these swift moves from BlackBerry, do you think they would hit it off? Are they heading straight down to oblivion? Or do you have a neutral stance. Your thoughts.

4 comments

  1. Im glad you put the ‘neutral stance’ option.

    As much as I have nothing but love for blackberry, i’m torn in-between the oblivion and neutral stance option.
    PRIV is not for me. Im keeping my passport. BlackBerry can’t possibly think this PRIV will bring back its glory, they thought that with the introduction of bb10 OS too, particularly d intro of z30 and Q10. If I wanted an android, im better off wt the king of droids, Samsung!!!

    Im pretty sure a lot of BlackBerry diehards feel this way too. Good luck to them with their strategies and all but all these are just steps…the competition is so stiff out there.

  2. If Blackberry goes down,it will not be due to lack of effort from their current CEO,l guess the damage has been done a long time ago,when they failed to read the market trends and are thus still paying for that..

    On the other hand,when you’re down like Blackberry the only place to look at is up,they have been consistently trying to get a track hold and move on from their current situation,and venturing into Androidland is thus not a bad move.It may not be the saving grace they are looking for but at least they won’t be accused of not giving it their best shot.

    I wish them the best and believe they’ll still be able to pull it off and return the company to profitability.

  3. Lmao @ “It may not be the saving grace they are looking for but at least they won’t be accused of not giving it their best shot.”

    Couldn’t be better said!

  4. I think BES remains BlackBerry’s stronghold, and leveraging on recent acquisitions within the fold, coupled with Google Android romance, resurgence is definitely what’s obvious.

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