Wednesday, September 28, 2016

BlackBerry gives up the manufacture of phones – Free Press

The BlackBerry phones will be manufactured under license by PT Tiphone Mobile Indonesia Tbk, allowing the canadian firm to focus on software and services, said a joint statement.

The physical keyboard is one of the hallmarks  of the BlackBerry brand, present in most of their  smartphones. (Photo Prensa Libre: AFP).
The physical keyboard is one of the hallmarks of the BlackBerry brand, present in most of their smartphones. (Photo Prensa Libre: AFP).

BlackBerry, which a decade ago was one of the largest manufacturers of smart phones, it currently has less than 1% of that market, dominated by Apple devices and Android.

last year tried to get in tune with the times and launched a phone with Android system which proved a sales failure.

BlackBerry  Priv, one of the more recent models of the  canadian firm, blend the physical keyboard with  the functionality of Android. (Photo Prensa Libre:  YouTube).
The BlackBerry Priv, one of the more recent models of the canadian firm, blend the physical keyboard with the functionality of Android. (Photo Prensa Libre: YouTube).

Already this year, the canadian company announced that it would stop making its classic phone with physical keyboard as part of its process of modernization.

however, the numbers of the company continued in the red and on Wednesday announced losses of 372 million dollars in the second quarter ended August 31.

BlackBerry has sought to focus on the software, including security applications, and this announcement withdraws completely to the signing of the manufacturing of phones.

“we’re coming to a turning point in our strategy. Our financial fundamentals are strong, and our axis software is claiming,” said its chief executive officer, John Chen.

“The company plans to put an end to all the development of internal hardware and tercerizará the function with their partners. This allows us to reduce capital requirements and improve returns on invested capital,” he added.

The  BlackBerry Passport was one of the last  smartphones manufactured by the company. (Photo  Prensa Libre: BlackBerry).
The BlackBerry Passport was one of the last smartphones manufactured by the company. (Photo Prensa Libre: BlackBerry).

Analysts praised the decision of BlackBerry because you took it at a time when the global market of smart phones is relatively stagnant.

“For several years the business of the telephone sets has been a distraction for BlackBerry, and for investors,” said the analyst of International Data Corporation, John Jackson.

This end is a “good news,” he said and noted that the company’s stock took a rise after the announcement.

Originally known as Research in Motion, the company introduced at the beginning of 2000, the first phone connected to the internet and won immediately a legion of faithful followers.

But since 2007, its brightness began to dim when it appeared the Apple iPhone and a large number of devices using the Android system of low-cost.

The stop hand, the devices, BlackBerry can focus on services such as messaging, cybersecurity, and internet-connected devices.

Who does not  remember the famous BlackBerry Curve 8520? This  was very popular in Latin america. (Photo:  Newspaper PL).
Who does not remember the famous BlackBerry Curve 8520? This was very popular in Latin america. (Photo: Newspaper PL).

Jackson said the company’s decision “should help the investors, the clients of BlackBerry and the own company that will focus on programs and services where it is very competitive.

however, the strategy has its risks, noted Michael Walkley of the firm Canaccord Genuity.

“Reduce the attention in the apparatus may have an adverse impact on the loyal users of devices BlackBerry and can potentially lead them to look in other smart phones, new programs or safety systems,” he said.

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