AH  BB Blackberry Priv Logo 2016 Chris -23

Analyst: BlackBerry Preparing To Exit Hardware Market

March 28, 2016 - Written By John Anon

BlackBerry has seen their operating system falling under the watchful eye of the market routinely and largely due to what is perceived as declining number of users. In fact, this is the reason that many have attributed to why BlackBerry finally decided to bring to market a device which runs on the Android operating system. While being viewed as a possible saving grace, this has also caused the market to watch the company more closely to see how their debut Android smartphone performs and whether it can boost the tide for the company and improve their bottom line.

While the initial impressions have been favorable for BlackBerry PRIV sales, it seems some are doubtful of not only the future of BlackBerry’s Android endeavors, but also of their hardware prospects overall. Daniel Chan, an analyst for TD Securities is one of them and has recently been reported stating that indicators are starting to emerge suggesting that BlackBerry may very well be preparing to announce an exit from the hardware sector altogether.

Since the launch of the PRIV, and even before, rumors had been circulating about the possible launch of the next BlackBerry Android smartphone, one which will be positioned as a more affordable option and one which commonly came with the “Vienna” codename. However, BlackBerry made it clear very early on that any future BlackBerry Android smartphones would be largely determined by the success of the PRIV. According to the current reports, Chan is noted pointing out that the lack of an arrival of this secondary and more affordable Android handset at MWC in February could be a prime indication that BlackBerry is preparing for a ‘strategy change’. One which would essentially see the company moving to focus solely on their enterprise and software devisions. A move which according to Chan, could see BlackBerry becoming a company that is in “much better overall picture than today” with a net cash worth estimated to be in the region of $1.4 billion and an operating margin of 33-percent. Either way, as BlackBerry is due to post their results for Q4 in the coming days, it is expected that if such a move is going to take place, then more details might come to light following the posting of those results