Microsoft to buy BlackBerry for $7 billion?

Microsoft to buy BlackBerry for $7 billion?
Last week, we told you that rumors have started up once again concerning a possible acquisition of BlackBerry. This time, prospective suitors include Microsoft, Xiaomi, Huawei, and Lenovo. Back in January, it was Samsung that was said to have the hots for the struggling manufacturer and a price of $7.5 billion was even bandied about. But BlackBerry denied that it had been approached, and an offer from Samsung never materialized.

Today, there is speculation that Microsoft is about to make a $7 billion offer for BlackBerry. That would amount to a 26% premium for the stock, or a price of $13.23. BlackBerry's shares closed Friday at $10.48.

Recent reports indicate that the BlackBerry Passport and BlackBerry Classic aren't selling well and the company has just instituted a round of job cuts. Any buyer would be interested in BlackBerry for its reputation in secure communications and for the company's enterprise sales.

Back in 2013, BlackBerry's largest shareholder, Fairfax Financial, agreed to take the company private in a $4.7 billion deal. But the deal fell through which lead to the removal of Thorsten Heins as CEO. Heins was replaced by John Chen.

source: MobileBurn

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85 Comments

72. diyi75

Posts: 73; Member since: Oct 30, 2013

Well, Blackberry lasted longer than I thought they would. Time to go the way of Palm. Microsoft will gut them like a trout for the security stuff, and cast the rest to history. Wow...Nokia and Blackberry!

46. tomakali

Posts: 17; Member since: Dec 12, 2011

Buy BB and what??? MS buying power is good MS marketing power is almost ZERO Esp in India No one cares about Bing No one cares about .Net its better to tieup with Ministry of Higher Education in countries like India, Middle East, East Asian countries etc to define the syllabus of Microsoft's next gen productivity suites, opensource .net etc % of people learning and adapting to opensource .net in the next 5 years is crucial no matter how many billions is wasted in buyout or other companies etc its the developers and consumers who mindshare which has to be bought eg: in My work im in charge of product development. i ask my dev partner to build apps on xamarin so that we can use it on all platforms he simply refuses. reason being his company has ZERO developers in dotnet. he so casually asks me to find someother company for dotnet resource. php and aws rules in India for sure and ROR more recently Azure and C# interest level is going down although im not representing the whole country of India im worried about the mindset of people in education sector I hope Satya know this situation already...

34. Suo.Eno

Posts: 556; Member since: Feb 17, 2013

I'd rather see MS spend that 7bill on actually paying all the devs to make Astoria and Islandwood work instead. They got real priorities there and should avoid from fattening up a bunch of lawyers.

66. SitiNurbaya0

Posts: 153; Member since: May 22, 2015

I agree with you. I don't understand why Microsoft want to buy Blackberry. I'm from Indonesia, the country of many BB fans, I also use BB in the past. But now, everyone want android. Microsoft better buy Android instead of Blackberry, or make android phone.

69. meanestgenius

Posts: 23084; Member since: May 28, 2014

The level of ignorance in this post is astounding. IF this article that PA has posted has any truth to it, and I said IF, your post indicates that you don't have the first clue as to why Microsoft would be interested in purchasing BlackBerry.

26. kryme

Posts: 470; Member since: Oct 24, 2013

All that patents

22. tatail

Posts: 261; Member since: Jan 08, 2010

Not going to happen. John Chen will only sell BBM for that price not the company as a whole

27. engineer-1701d unregistered

he has no chance for years saying he will turn it around a slight profit means nothing in the corporate world plus laying off thousands of people thats what you call a profit your a sad company thats had its 5 mins of fame, its like myspace or napster or aol, netscape before google and all that i remember waiting 5 mins for dial up to connect and sometimes fail and if you had one line and the phone disconnected noooooo. hahahaha go ms you need bbm for phone and patents to make yours better.

39. meanestgenius

Posts: 23084; Member since: May 28, 2014

Chen has only been in charge for 2 years, and in those two years he's made the company profitable again. BlackBerry is the biggest player in the corporate world, they're not going anywhere anytime soon. If you really believe that BlackBerry is going to Microsoft, then then you must believe everything that's posted on the internet. By your logic, Sony and HTC are doomed and going out of business and should sell immediately. Motorola, too. Oh wait...

45. elitewolverine

Posts: 5192; Member since: Oct 28, 2013

Sony has restructured their handset division yet again amid less than stellar sales. Moto was sold, and sold specifically for their patents. HTC not dying but i dont think their m9 has gathered the eyes they wanted.

49. meanestgenius

Posts: 23084; Member since: May 28, 2014

And yet, you probably agree that BlackBerry restructuring means that they're doomed...

61. BobbyDigital

Posts: 2126; Member since: May 29, 2014

Agreed. EliteWolverine probably does think BlackBerry is doomed. He'd be wrong but this isn't the first time. He also thinks Windows 10/WP is a viable OS and that they're going to be around in the next five years. Too bad WP's declining market share state otherwise.

32. JoniCen

Posts: 18; Member since: May 24, 2015

I'm really sad to tell all my friend that BBM offer a small value. I already try to sell BBM, but with only 20 million real user, our BBM only valued at 2 million dollar at best.

60. BobbyDigital

Posts: 2126; Member since: May 29, 2014

I'm not sorry to tell you janechenlong, that you will be banned again before the month is out.

21. 7thspaceman

Posts: 1597; Member since: Feb 14, 2011

I agree with a Commenter above MS CEO is a MS Enterprise man Blackberry must has some very very Good software patents and capabilities MS wants to use in it's Enterprise software Portfolio. Microsoft can dominate the PC Tablet market if it cut the price of it's renown award winning "Surface Pro 3" tablet. to make the Surface a better tablet than it is it does need a stiff conventional plastic keyboard Dock like Lenovo has for it's Windows PC tablets. an MS PC tablet with some Blackberry soft ware could make the Surface Pro's or any Windows tablet a damn good business Tablet if Microsoft does get blackberry I think it will not be changed to look like a Nokia lumia Plastic smart phone. it's screen might not even get tiles so it will keep it's distinctive Blackberry look but it will use MS universal Apps and MS services. the phone will have a Microsoft logo on it's back under the words "Blackberry"

17. Mxyzptlk unregistered

Sames ones who whine every time PA makes a BB article fail to see the big picture here. BB is slowly dying. Microsoft or any other company buying them would save them from an otherwise painfully slow death. Microsoft already has reach in the business market. Some of you shouldn't be clouded by ignorance.

18. Crispin_Gatieza

Posts: 3201; Member since: Jan 23, 2014

Dying companies are not the type to be bought. You need to have an understanding of how business works. If BB was truly dying, as so many here wish, there wouldn't be companies lining up to buy them. They'd be hanging around the bankruptcy courts waiting on liquidation hearings to gobble up the bits they want for pennies on the dollar. BlackBerry is turning a profit even on their handset division as evidenced by two consecutive quarterlies and THAT is what's making them attractive to potential suitors. BB's patent portfolio is the real player here and if Microsoft can snatch them up now for $7 Billion, it would be a steal. A few more quarters of profits and the price tag goes way up. Here endeth the lesson. I should be getting paid for the free education I'm providing.

19. meanestgenius

Posts: 23084; Member since: May 28, 2014

Same ones who wish death on BlackBerry and jump on them every article that PA puts up about them fails to see beyond their own ignorance. These are the ones that don't know a thing about BlackBerry beyond handsets, and don't care to know, either. If BlackBerry were "dying" like you suggest, nobody would want it. You wouldn't see companies lined up wanting to make an offer. The truth is, BlackBerry is profitable again, but the trolls can't see beyond their own !Diocy and ignorance.

51. Mxyzptlk unregistered

So where's this proof that they're profitable? Seems to me like Chen is saying very little other than the predictable.

54. meanestgenius

Posts: 23084; Member since: May 28, 2014

Guess you missed the last two earnings reports from BlackBerry, where they reported a profit in both.

20. BobbyDigital

Posts: 2126; Member since: May 29, 2014

You don't even know what you're talking about. You sound retarded right now. Stop it.

50. Mxyzptlk unregistered

That's rich coming from someone who's only motive is being a yes man.

57. meanestgenius

Posts: 23084; Member since: May 28, 2014

That's rich coming from someone who's only motive is to troll anything that's not Apple/iOS.

58. BobbyDigital

Posts: 2126; Member since: May 29, 2014

And your only motive is to be a troll. Like the iDiot you are.

25. engineer-1701d unregistered

think about all the employees getting laid off thin if that was you, you want a big mono to buy you and get better everything, plus we all know how windows has the world in its hands as company and office comps go, think if windows 10 or 11 would have bb protection no hacks no blue screen of death i know its been years since them but still this could only be good.

14. meanestgenius

Posts: 23084; Member since: May 28, 2014

Totally agree with Dr. Phil. This is the same article as the other day with another spin. Must be a slow news day.

13. Dr.Phil

Posts: 2577; Member since: Feb 14, 2011

No offense, but this is just the same article that was reported on PA a couple of days ago just with a different spin. The source article talks about the same three companies mentioned earlier: Xaomi, Lenovo, and Microsoft. It also NEVER mentions Microsoft offering such a bid. It simply states: "Several reported have suggested BlackBerry could cost as much as $7 billion, just two years after it was rumoured Lenovo made a $1 billion bid for the company." I'm confused as to how this one line that mentions 'several reported have suggested Blackberry could cost as much as $7 billion' translates into: "Today, there is speculation that Microsoft is about to make a $7 billion offer for BlackBerry." In my book we like to call that a reach.

16. Settings

Posts: 2943; Member since: Jul 02, 2014

PA should hire you as part of their editorial. They just post whatever article they had, clickbaits and site traffic are all they after. And that paycheck from Samsung.

10. MuddyCow

Posts: 90; Member since: Oct 09, 2014

I really hope this is true, this iwould give huge possibilities for MS in the corporate market, and with Windows 10 coming and it's business features, it would be a great OS for hardware like the BB Passport.

9. VZWuser76

Posts: 4974; Member since: Mar 04, 2010

While I hate to see less competitors in mobile, they would have an amazing enterprise offering.

* Some comments have been hidden, because they don't meet the discussions rules.

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