BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB), once the leader in the smartphone market has seen a rapid decline in the popularity and sales of its smartphones in last few years. At a time when the market for BlackBerry handsets has almost reached a dead-end the new CEO John Chen entered the company. The current situation is that he has initiated budget and employee cuts to bring down the costs of the company and making it more streamlined.
Chen claimed that by 2016 he will make the company a profitable one. These changes have infused a sense of positivity into the minds of investors with respect to the company’s future.
In an interview with the Hindu’s Business Line, Chen discussed BlackBerry’s current situation.
BlackBerry current situation
BlackBerry CEO done with restructuring. a new business unit BlackBerry Technology Solutions (BTS) was announced in August by the CEO and the innovative assets like QNX are included in it. The company aims at expanding into new markets beyond the core ones and with BTS it finds itself better aligned for accelerating its growth and innovation in those markets. The company is planning to develop and expand end-to-end secure protection for maximum possible end-points and machines and creation of those will be facilitated by BTS, told Chen.
The company is focusing upon providing its enterprise customers with such end-to-end enterprise mobility solutions that are the best and secure. The company holds a strong position in the machine-to-machine space and the Internet of Things, as well. What makes BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB) the most preferred choice among the enterprise security solutions providers is the fact that the security provided by it is unmatched.
Measures to alleviate risk
With the handsets and enterprise solutions improving, the chances of the company’s survival have gone up to 80% with just 20% chances of failure, and the new CEO is making attempt to turn the remaining 20% as well into company’s favor. The company has a new leadership team and a redefined vision. The restructuring process has reached the desired level and the CEO believes that the risk has been mitigated completely and the company will move in a positive direction.
“Risk is always there, but I am confident we have taken the necessary steps to alleviate it to the degree that we can,” Chen said.
India is among the Top 10 BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB) markets, which makes it an extremely important country. The requirement of the mobile technologies by Indian companies is increasing day by day as they seek to improve their operations, which will eventually lead to more competitiveness. The company’s strategy has been designed in alignment with the needs of the Indian market and this strengthens the chances of survival in the Indian market.