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mrabody

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  • BlackBerry: Samsung Selects Good Technology For An OS Partnership [View article]
    @ AH

    Blackberry is sitting on borrowed money, not living on it.
    Feb 11, 2015. 05:52 PM | Likes Like |Link to Comment
  • Why Acquiring BlackBerry Would Make Sense For Samsung [View article]
    Just because patents aren't generating revenue for BlackBerry, doesn't mean they wouldn't be of value to Samsung. BlackBerry may not be seeking to earn revenue from its patents because to do so would come at a cost. Other companies might respond in kind. On the other hand, Samsung has a history of becoming if being embroiled in patent litigation, usually as a defendant. BlackBerry's patent portfolio would strengthen it's hand vis-a-vis the likes of Microsoft and Apple.
    Jan 19, 2015. 08:52 AM | 1 Like Like |Link to Comment
  • Why Acquiring BlackBerry Would Make Sense For Samsung [View article]
    Samsung can probably get everything it needs from BlackBerry without buying the company outright. When you consider the potential pitfalls of an outright acquisition and potential problems in integrating two very different corporate cultures (think HP and Palm, or even RIM/TAT), a licensing deal for software for Samsung's IoT strategy or negotiating the part purchase or perpetual licensing of BlackBerry's patent portfolio, would seem to be much more cost-effective means by which Samsung can get what it needs.
    Jan 17, 2015. 03:42 AM | Likes Like |Link to Comment
  • BlackBerry denies talking with Samsung about buyout offer (updated) [View news story]
    @Stepopolis, Randall

    The Samsung denial is an old story. I can't see a date for it but it talks about Bada for which Samsung ceased support last year. My guess is that it dates to about 2012.
    Jan 14, 2015. 06:23 PM | 2 Likes Like |Link to Comment
  • BlackBerry denies talking with Samsung about buyout offer (updated) [View news story]
    One thing's for sure. A lot of shorts are going to be re-evaluating their strategy after today.
    Jan 14, 2015. 06:12 PM | 6 Likes Like |Link to Comment
  • BlackBerry denies talking with Samsung about buyout offer (updated) [View news story]
    Why would Samsung be interested in BlackBerry's hardware business. They already have one of their own.

    I doubt they're interested in BES either as it's not their area of business.

    Samsung is a major consumer electronics and household appliance manufacturer in search of the appropriate software to run their smart devices.

    If the two companies are discussing anything it is a software licensing deal.
    Jan 14, 2015. 06:10 PM | Likes Like |Link to Comment
  • BlackBerry CES Announcements Add To Positive Momentum [View article]
    Yeah, but, but, but I thought that with its small ancient servers that inexplicably couldn't be scaled up, BlackBerry was in no position to take advantage of the IoT. I swear, I read it here right on SA!
    Jan 9, 2015. 02:49 AM | 3 Likes Like |Link to Comment
  • Convertible Bonds Water Down BlackBerry Turnaround Efforts [View article]
    For all we know the loan from Fairfax may have been a condition imposed by Chen in return for him taking the job of CEO. It's easy to forget how bleak the BlackBerry's future was looking in the autumn of 2013. To date they've been able to maintain their cash and investments but that was by no means a certainty 14 months ago.
    Jan 5, 2015. 03:16 AM | 4 Likes Like |Link to Comment
  • Sony Endorsing BlackBerry? [View article]
    @bigbucks

    Er, a Focus is probably more reliable than a BMW...
    Jan 1, 2015. 04:31 PM | 3 Likes Like |Link to Comment
  • BlackBerry: The Drowning Man Of Mobile [View article]
    So you got greedy in the hopes of making a quick buck on the back of the earnings report and bought shares in a company you hadn't adequately researched and got burnt. Maybe you should have stuck by your "long term" stance and saved yourself a couple of grand.
    Dec 20, 2014. 08:39 AM | 5 Likes Like |Link to Comment
  • BlackBerry: The Drowning Man Of Mobile [View article]
    @sanityininsanity

    "At least the short-sellers no longer talk about the "B" word."

    In fact Andreas Kopf mentioned the B-word earlier today.
    Dec 19, 2014. 02:55 PM | 2 Likes Like |Link to Comment
  • BlackBerry: The Drowning Man Of Mobile [View article]
    What is worth noting is that BB7 handset production ended sometime in summer and early autumn. Chen mentioned this in the September earnings call. Considering that BB7 handset sales were a large portion of BlackBerry's handset sales up until then, I'd wager that this quarter's decline in handset sales is due to enterprise users (who were probably the main buyers of the legacy devices) waiting until the debut of the Classic before replacing/upgrading/pu... corporate handsets. But for the arrival of the Passport this quarters handset sales would probably have declined even further.
    Dec 19, 2014. 02:52 PM | 3 Likes Like |Link to Comment
  • BlackBerry: The Drowning Man Of Mobile [View article]
    It's pretty clear he doesn't know what SAF is either. He seems to think that it is enterprise-only and that the decline in SAF is proof that enterprise is abandoning BlackBerry.
    Dec 19, 2014. 02:46 PM | 8 Likes Like |Link to Comment
  • BlackBerry: The Drowning Man Of Mobile [View article]
    @the author

    "The Service revenue decline completely undermines a key tenet of the BlackBerry faithful - that enterprise customers will drive BlackBerry's turnaround. The decline in service revenue says that enterprise customers are turning away from BlackBerry. Chen's rationalization is that BlackBerry just needs to figure out how to better monetize its services. The decline in revenue is indicative of the value the enterprise market attaches to BlackBerry's services. Any attempt to improve monetization of BlackBerry services, such as the free BBM app, will only discourage their use."

    Service revenue is not synonymous with enterprise. Traditionally service revenue refers to the Service Access Fee that was charged to users of legacy BlackBerry devices by wireless carriers. This fee was charged to both consumer and enterprise users. Since the advent of BB10, the additional services are no longer required on the BB10 handsets. With Legacy devices no longer being sold, and as older legacy devices are retired, this stream of revenue is shrinking. This was always going to be the case with the debut of the BB10 operating system.

    Chen's strategy is to replace this device-centred revenue with service-centred revenue aimed at enterprise, such as BES 12 which allows the management of IOS, Android, Windows, and BlackBerry handsets, enhanced BBM services that allow conference calling etc, and various security and productivity solutions. If you had actually been paying attention the past year you would know that under BlackBerry Chen has been offering these services free of charge to get enterprises to try them out. This was the purpose of the EZ pass program which is now concluding. Another example of this strategy is BlackBerry offering some enhanced BBM services free for a period of three months before charging for them.

    In the meantime BlackBerry has also been seeking out partners to sell these services, as well as hiring its own sales staff.

    The final component of Chen's strategy is the introduction of two new enterprise-focused devices, the Passport and the Classic, the latter of which is designed to replace the legacy devices that were bought in quantity by enterprise users until the end of production earlier this year (it's worth noting that handsets sales declined this quarter just ended from the previous quarter and I a suspect this is almost certainly due to legacy devices being discontinued and the Classic not yet being available).

    With the debut of the Classic, the final component in this first phase of BlackBerry's new strategy is in place. Incredibly Chen has managed all this while keeping losses to a minimum and hoarding $3 Billion in cash and investments.

    It is only in the next few quarters when BlackBerry actively starts marketing its enterprise services and handsets that we will know how well Chen's strategy will bear fruit. This was obvious to anyone who took the time to see what BlackBerry was doing. It's pretty clear that you don't number among those people.

    BlackBerry could still fail, but with a £3 billion war chest, an enterprise-focused strategy, and a track-record of real innovation over the past year I wouldn't bet against it.
    Dec 19, 2014. 02:44 PM | 26 Likes Like |Link to Comment
  • BlackBerry beats by $0.06, misses on revenue [View news story]
    Why are you assuming that Hardware will remain static and that selling an extra 500,000 handset per quarter is impossible. They've just launched the Classic which is likely going to become their high-volume handset for corporate accounts. Furthermore Passport's availability has been and remains very restricted. BlackBerry is also getting more experienced in online retailing, including offering payment plans for their handsets through paypal which takes the sting out of buying off-contract.

    And of course this begs the question whether Chen was being overly conservative when he said they could be profitable at 10 million handsets a year. For all we know they may be profitable at 7 million.
    Dec 19, 2014. 11:01 AM | 2 Likes Like |Link to Comment
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