x PhoneArena is looking for new authors! To view all available positions, click here.
  • Home
  • News
  • BlackBerry hardware unit of no real value to any potential suitor

BlackBerry hardware unit of no real value to any potential suitor

Posted: , by Maxwell R.

Tags:

BlackBerry hardware unit of no real value to any potential suitor
Michael Walkley, analyst at Canaccord Genuity, Inc., was diplomatic in his assessment of BlackBerry’s handset business, “We struggle to assign any value to the hardware business…” He continued to explain that any potential buyer of the troubled company would want to migrate the customer base to its own platform and products.

Hugu Miller of Bloomberg was a tad more direct, “BlackBerry’s once-lucrative services business and hardware unit would have zero value in a breakup…” (emphasis added).

A break-up of the company is the scenario that most of the money-types are expecting to come out of whatever “explorations” BlackBerry performs to determine a course of action.The reason for the expected break-up of the company is because of the perception that no single entity wants buy BlackBerry as a whole company.

The services based parts of the business like the operating system and the treasure trove of patents and secure servers. One thing that is not in the immediate picture is bankruptcy as BlackBerry has nearly $3 billion in cash plus another several billion in cash equivalents. “More than enough to ward off bankruptcy.”

source: Bloomberg via BGR

9 Comments
  • Options
    Close




posted on 21 Aug 2013, 14:24

1. icyrock1 (Posts: 301; Member since: 25 Mar 2013)


I figured has much. BlackBerry's real value is in there software patents.

posted on 21 Aug 2013, 15:04

4. Droid_X_Doug (Posts: 5530; Member since: 22 Dec 2010)


Software patents have been leap-frogged for the most part. Triple DES encryption has been replaced by AES256 for example. Push-notifications have been licensed to almost everyone, so no new benefit there. And, and, and.

posted on 21 Aug 2013, 14:32 4

2. dorianb (Posts: 347; Member since: 24 Oct 2012)


I'll give them $5 & a pack of '84 Topps trading cards for the hardware division. Final OFFER!!!

posted on 21 Aug 2013, 14:53

3. PhoneCritic (Posts: 352; Member since: 05 Oct 2011)


Even that's to much. Make it $5 and the stick of gum that came with the cards (84 card are to valuable) Lol.

Seriously I hope BB can actually survive this and emerge as a services company. Their secure messaging is very valuable but it loses value every day as others are continually improving their competitive offerings. Time is of the essence

posted on 21 Aug 2013, 15:06

5. Droid_X_Doug (Posts: 5530; Member since: 22 Dec 2010)


The time for BB as a services company has actually passed. As you posted, competitors are continually improving their offerings. iMessage is better than BBM at this point.

posted on 22 Aug 2013, 00:14

9. axllebeer (Posts: 265; Member since: 05 Apr 2011)


Going to have to disagree with the iMessage statement. Have you even used the recent releases of BBM? The separation of text messages and iMessage is pretty important to me.

posted on 21 Aug 2013, 15:39

6. mobi_user (Posts: 105; Member since: 18 Jun 2013)


doomsday apocalypse heading for BB

posted on 21 Aug 2013, 15:40

7. Altair (Posts: 317; Member since: 02 Feb 2012)


RIM = RIP
BB = RIP in less than 2 years

posted on 22 Aug 2013, 04:23

10. gazmatic (Posts: 515; Member since: 06 Sep 2012)


if only canonical was rich enough to buy rim...

i can imagine the big three are eying it for the patents

or maybe intel, amd or nvidia

Want to comment? Please login or register.

Latest stories