BlackBerry looks around for buyers
The Canadian firm said it had formed a committee to consider possible joint ventures, strategic partnerships or alliances; a sale of the company or other possible transactions.
The announcement comes when BlackBerry has been marginalised in a smartphone market that is dominated by companies using the Google Android operating system and by Apple's iPhone.
A statement issued by BlackBerry said the board's committee would seek ways to enhance value and increase scale to help deploy its products based on the new BlackBerry 10 platform.
"We continue to see compelling long-term opportunities for BlackBerry 10, we have exceptional technology that customers are embracing, we have a strong balance sheet and we are pleased with the progress that has been made in our transition," said president and chief executive Thorsten Heins.
Special committee
The special committee of the board includes Heins, Barbara Stymiest, Richard Lynch and Bert Nordberg, and will be chaired by Timothy Dattels.
"During the past year, management and the board have focused on launching the BlackBerry 10 platform and business enterprise solutions (BES) 10, establishing a strong financial position and evaluating the best approach to delivering long-term value for customers and shareholders," said Dattels.
"Given the importance and strength of our technology and the evolving industry and competitive landscape, we believe that now is the right time to explore strategic alternatives," he added.
Prem Watsa, chairman and chief executive of Fairfax Financial, said he would resign from the board because of potential conflicts that may arise during the process. Fairfax Financial is the largest BlackBerry shareholder.
A survey by IDC found BlackBerry's global market share had slipped to 3.7% in the second quarter, the lowest since tracking began, while Android accounted for nearly 80% of the market.
While BlackBerry helped create a culture of mobile users who were glued to the company's smartphones, many of those customers have since moved to Apple or other smartphones primarily based on the Android platform.
In a turnaround bid the company unveiled its new platform in January and dropped the corporate name Research in Motion to re-brand itself as BlackBerry.
Source: AFP via I-Net Bridge
Read the full statement on press.blackberry.com.
Source: I-Net Bridge
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