BlackBerry Befuddled

We were proved right quicker than we thought over the BlackBerry story here at the clickmate office. We predicted they would be sold soon, although we did not think that soon to be honest. We were lamenting the demise of the once iconic phone and how the search marketing team had been key users of the device. See our story entitled BlackBerry Goes Off.

Then came the news that indeed BlackBerry was up for sale, priced at £3 billion. Quite a lot you might think, but not when it was recently priced at nearer £50 billion on the stock market.

The buyer, subject to due diligence, is a consortium led by the company’s biggest shareholder, Fairfax Financial.

Now comes news that BlackBerry has just reported a huge loss (which explains the quick sale) of £600 million for the second quarter which comes after a slump in sales. Proving the point, of course, that BlackBerry is just not the cool kid on the block anymore.

The Z10 is proving about as popular as a chocolate fireguard and although the operating system, delayed for months, is said to be radical (by the company), it just hasn’t saved the day. Competitors like Apple and Samsung have moved so far ahead of BlackBerry, that the company is irreparably damaged below the waterline. It now cannot keep its former place in the market.

BlackBerry boss Thorsten Heins said: “We are very disappointed with our operational and financial results this quarter and have announced a series of major changes to address the competitive hardware environment and our cost structure.”

That’s corporate speak for we’re in the ****. It’s likely that the buyers will be looking to get the jump on BlackBerry’s technologies and intellectual property – it’s bits might be worth more now than it’s whole.