The Future of Blackberry
It seems that try as it might Blackberry cannot keep out of the news.After the much heralded fanfare at the proposed buyout of the company by one of its largest investors Fairfax Group in September it seems that the sale has collapsed midst doubts that Fairfax had the means to push through the buyout.Blackberry is not looking for new suitor as its largest stockholder, Fairfax Financial Holdings (FFH:CN) in Toronto, agreed to invest $1 billion instead of buying the whole company for $4.7 billion. BlackBerry (BBRY) The resulting fallout has seen CEO Thorsten Heins step down whilst John S. Chen, who led database-software maker Sybase’s turnaround and 2010 sale to SAP (SAP), will serve as interim CEO as a successor to Heins is sought.
Two and a half months after saying it would seek “strategic alternatives”—like a buyout—the company is back at square one.BlackBerry’s lack of clear direction remains its main problem. Bloomberg News reported Monday that the company is still looking to sell all or some parts of itself. It will now have $1 billion in extra cash to offer some measure of stability as it seeks to fill the open chief executive job and plot its next move, but its troubles are far from over.It seems that the companys brand is in terminal decline as ground lost to Android and Apple devices seems to be irretrievably lost.A reminder of how innovative they once were can be obtained from the release of BBM on Apple and Android devices last month.Over twenty million consumers downloaded the app which does serve as a timely reminder of how it used to dominate social media.Blackberry needs a few more of these shots in the arm to avoid any more debacles.