BlackBerry reportedly cutting Q10 and Z10 production by 50%

BlackBerry reportedly cutting Q10 and Z10 production by 50%
It seems that the hits just keep coming for BlackBerry. The company was already in a troubling position after it watched Android, iOS, and even Windows Phone eclipse it in the marketplace. By the time BlackBerry 10 made its debut, the company was fighting an uphill battle. Its latest earnings reports were disappointing, and now it seems that the company has had to cut production of handsets by 50%.

The news is coming from Jefferies & Co. analyst Peter Misek who is saying that BlackBerry has had to cut production of the Q10 and Z10 handsets from 2 million devices per month to just 1 million per month. Apparently, this is a reaction to "poor May Q sell-through", although Misek had expected the move sooner, because BlackBerry had raised build plans even after seeing the troubling May numbers. 

Recently we've seen the BlackBerry Z10 price being cut, but CEO Thorsten Heins has brushed that off as being a normal part of the device life-cycle. With the next flagship BlackBerry A10 expected in November, it's far too early to be slowing production in preparation for a new device, so it will be interesting to hear what Heins has to say on the production cut news.

source: Barron's via BGR

Related phones

Z10
  • Display 4.2" 768 x 1280 pixels
  • Camera 8 MP / 2 MP front
  • Processor Qualcomm Snapdragon S4 Plus, Dual-core, 1500 MHz
  • Storage 16 GB + microSDXC
  • Battery 1800 mAh(10h 3G talk time)
Q10
  • Display 3.1" 720 x 720 pixels
  • Camera 8 MP / 2 MP front
  • Processor Qualcomm Snapdragon S4 Plus, Dual-core, 1500 MHz
  • Storage 16 GB + microSDHC
  • Battery 2100 mAh(13.5h 3G talk time)

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41 Comments

1. papss unregistered

This is terrible news for BB. I just don't see them turning this ship around

18. PAPINYC

Posts: 2315; Member since: Jul 30, 2011

That's probably because it's hard to turn around a ship once it's resting at the bottom of the ocean floor.

21. Dastrix unregistered

LOL that's hilarious! Still hope for the best for BB; I wouldn't want to be Heins right now, but someone's gotta be the captain. That takes courage! xD

2. Birds

Posts: 1172; Member since: Nov 21, 2011

How about cutting the price 50%...

3. digitalw

Posts: 79; Member since: Dec 20, 2011

People are afraid from new things. MS Windows Phone even now is frightening for new people... but for those who tried it, they are happy with it. If the price was lower, the addoption would be much higher. I'm Nokia fan and I was never on BB but BB Z10 is the most compact device i have seen. Smaller then those sun protecting bricks from Samsung and alikie, powerfull, good camera, great build quality. The only stop for me is the price.

4. TROLL

Posts: 4851; Member since: Apr 13, 2012

They are both in the same sinking ship, BB, NokiaWP8! RIP ®

6. Shatter

Posts: 2036; Member since: May 29, 2013

The only way Nokia or BB will ever see good sales is to switch to Android.

8. roldefol

Posts: 4744; Member since: Jan 28, 2011

If I had a goddamned quarter for every time... oh, it's you. Nevermind. Nokia's doing just fine. The main reason you want to lump the nosediving BB and rising Nokia together is to pat yourself on the back for your own OS choice.

12. DigitalJedi_X2

Posts: 346; Member since: Jan 30, 2012

Nokia is nowhere close to doing "just fine". The minuscule rise in market and profit share isn't anywhere close to helping Nokia. Nokia just made a huge purchase in Siemens and is expected to burn through it's cash before 2016. That's NOT doing fine. This ANALyst, and others, have been propagating bad news after worse news for BlackBerry because there is over $2Bil at stake in short selling BB stock. Of course they don't want BB to do well. Where is he getting his info from? Is it official info or more ANALyst speculation? I'm really starting to think that PA is in on it with the BB short sellers.

14. roldefol

Posts: 4744; Member since: Jan 28, 2011

And yet we see Nokia and WP8 market share rising. You can speculate all you want that Nokia would be doing even better with Android, but that's all it is: speculation. No, they're nowhere near Samsung or Apple profits or market share, but they're improving. I just can't stand this prevailing notion that Android is the solution to every struggling company's troubles. It certainly hasn't saved HTC's bacon.

23. ihatesmartphone unregistered

You're wrong. Nokia should sell both WP and Android phones. That's a good solution. To have more options is just much better than to relies on one option!

25. snowgator

Posts: 3621; Member since: Jan 19, 2011

Which makes total sense until you remember the 1 billion a year for a 5 year deal (not sure in the length, but am remembering 5 years) that Nokia is getting from MS to produce WP devices exclusively. Wait a minute!!! I fell for it, dang it!! This is a BlackBerry story. Why the heck are we responding to Nokia accusations?? Silly, silly us for giving this stuff the time of day....

26. DigitalJedi_X2

Posts: 346; Member since: Jan 30, 2012

I never said anything about Nokia using Android. Not a thing. I commented on Nokia and WP's paltry market share.

29. roldefol

Posts: 4744; Member since: Jan 28, 2011

No, you didn't say anything about Nokia and Android, Shatter started that. I was only following the thread. But around here, it typically goes without saying that if Nokia and WP isn't enough, Nokia and Android must be the answer.

30. TROLL

Posts: 4851; Member since: Apr 13, 2012

We don't need Nokia Android phones! If Nokia starts to make Droid phones, it will be using a year old specs. Just look at the N9 when it was released along with S2. It was using outdated specs. I never relyied on Nokia for specs even in 2007 Htc and Apple were using better specs. Nokia is only good at camera and music and average at designing phones. But the L925 looks very sexy slick smart like Lg and Sony design. Rectangle candybar looks ®

33. roldefol

Posts: 4744; Member since: Jan 28, 2011

For the nth time, Nokia doesn't pick the specs, MS does, based on whatever it deems necessary to run WP smoothly. That's why the HTC 8X and ATIV haven't trumped Nokia specs. Point being, if Nokia made an Android it would have the same or better specs than the competition.

34. TROLL

Posts: 4851; Member since: Apr 13, 2012

Wtf Lmfao Nokia having better specs than Htc and Samsung! Nokia is a connecting company. Htc Samsung advertise showing of there specs, not there cameras. Please Roldefol don't be silly talking nonsense ®

35. cam-whore

Posts: 164; Member since: Feb 21, 2013

haha, another android user not satisfied with the phone's hardware. there is just no way nokia is gonna go for the laggy and buggy ways of android. And yes, Nokia is the only company right now seeing good up sales (inc. apple, samsung, htc, sony). And guess what, they're not using crappy android. How bout you switch to Nokia or BB, then you get rid of the lag and bug...

24. Dro

Posts: 27; Member since: Dec 23, 2009

If the Z10 is the most compact phone you've ever seen you've been living under a rock. Blackberry Z10 = 130 x 65.6 x 9 mm with a 4.2" screen Motorola RAZR M = 122.5 x 60.9 x 8.3 mm with a 4.3" screen Motorola RAZR HD = 131.9 x 67.9 x 8.4 mm with a 4.7" screen Samsung S3 = 136.6 x 69.8 x 7.9 mm with a 5" screen Sony Xperia ZL = 131.6 x 69.8 x 9.8 mm with a 5" screen I think Motorola wins on the most compact department. You don't judge a phone's compactness by it's screen size because obviously some OEM's are better than others at keeping the phone and the screen almost the same size.

5. mobi_user

Posts: 152; Member since: Jun 18, 2013

The problem is blackberry is that they are bringing too few models. To stay alive you have to make phones for every segment. BB does not enjoy the market privilege as it used to. Enough business features are provided by even $100 phone.

7. snowgator

Posts: 3621; Member since: Jan 19, 2011

The worst part about this is if BB truly cannot make this a success we may see the last of the "gesture" base OS. WebOS couldn't make it work, and BB seems to be having a serious tough time just getting out of the gate. I think it is to soon to write them off, as it has only been a few months. They need a year or two before a giant with the cash on hand resources of BB is truly done. But truth is truth, and so far they are having a ton of problems. (Today's understatement for your enjoyment.) I enjoyed playing with BB10. I would like to see it succeed.

9. PK1983

Posts: 215; Member since: Aug 08, 2012

They couldn't figure out how to make a quad core phone with a 1080p screen that isn't a battery hog, that is why they came to market with old specs. Even a Chinese company, and I am not talking ZTE or Huwawi but little Chinese smartphone companies can accomplish this. Now they try to release a high end phone, that probably will end up looking like their old high end phone still with only a 720p screen. Unlike Nokia which can bank on its build quality, camera, and design, what does Blackberry bring to the table right now? Outdated specs, bland design, high price vs competitors.... why buy a Blackberry?

10. roldefol

Posts: 4744; Member since: Jan 28, 2011

People (and even moreso, BB execs) underestimate the amount of prestige and desirability BB has lost in the last 3 years. I don't know anyone who wants a BB10 device. Even businesses don't want them anymore. They've moved on to iOS and WP8. It has little to do with pricing or variety or even the quality of the OS. Nobody's talking about Blackberry, at least not in the US. It's a dying entity.

13. DigitalJedi_X2

Posts: 346; Member since: Jan 30, 2012

Please tell me what company wants WP8?? iOS and Android YES. WP8 NO. Not even the carriers are supporting WP8. The only reason why Nokia and WP8 haven't died yet is because M$FT has enough cash to keep it afloat. Period.

15. roldefol

Posts: 4744; Member since: Jan 28, 2011

True, I'm only speaking for one company, but I know of one Fortune 200 company that ditched its entire fleet of Blackberries for iPhones, Lumias and HTC 8Xs. That says a lot to me about how far Blackberry has fallen in the eyes of corporate America, when they used to be the no-brainer phone of choice.

27. DigitalJedi_X2

Posts: 346; Member since: Jan 30, 2012

Corporate America, like most Americans, will always choose American made over anything else. Microsoft has deep pockets and long connections in corporate America.

31. roldefol

Posts: 4744; Member since: Jan 28, 2011

If that were the only factor, why wasn't Windows Mobile successful in corporate America? At the time, BB was the more refined, stable, and useful platform. That's no longer the case. And I think they would rather buy from Canada than Finland.

19. number29

Posts: 185; Member since: Jan 25, 2013

Where I work has just replaced all BBs with Lumia 620s.

11. GoBears

Posts: 456; Member since: Apr 27, 2012

R.I.P. Blackberry. Thank you for everything you've contributed over the years.

16. PAPINYC

Posts: 2315; Member since: Jul 30, 2011

Blackberry will definitely be the first phone I buy in my after life; a real smartphone won't really matter at that point [for me] :)

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