Blackberry was considered to be the strongest company in the mobile phone business but not anymore.
Over the years, cellphones revolutionized the world of innovation. Many telecom companies introduced their creative products in the market and received great response from the targeted audience. Among such organizations, Blackberry was the most prestigious one but in recent years, it has not only lost the popularity but its loyal customers too which are miffed by the company's confused approach of introducing and upgrading two different operating systems simultaneously.
Android and iOS operating systems provide easy interface to users. Smartphones recently changed the definition of a cellular phone and integrated almost everything in one device. Blackberry has an arsenal of good apps and except a couple of designs, it still has the conventional design of a mobile phone.
Recently, Blackberry introduced its new smartphone, named PRIV, based on Android. The company expects that the new addition will provide better and higher returns to the country. Although it was hopeful that its new product would be well received, the results turn out to be opposite.
Since its launch on November 6, 2015, the company has witnessed significant decline in the shipment of the high-hoped product. From third quarter of fiscal year 2015 to third quarter of fiscal year 2016, its unit shipment has declined from 2 million to 0.7 million. However, the tech corporation is hoping to get consolation when its deal with T-Mobile and Verizon networks will operate.
BlackBerry is also looking forward to invest in its operating system BB10 and believes that the updated version will be more beneficial to the users. The company believes that the improved version of the operating system will ensure greater security making the data and operations of the users safe and secure therefore, the company anticipates attracting government officials and those customers that demand high level of security. However, the company faces the financial issues in order to work on the software upgrade.
BB users were given free access to BB10, which means that users do not have to pay anything when they convert from BB7 to BB10. This left the organization with lack of monetization opportunities to spend it on its new research and developments.
Not disturbed by the current crisis, Blackberry struggles to survive in the competitive world of Silicon Valley. In a blog post, Blackberry CEO waived off all the speculations regarding BB10 being obsolete and commented that BB10 is ‘far from being dead.’ The business is currently running with a share price of $6.75 significantly lower than its competitors.
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