“BlackBerry was once the most popular smartphone maker in the world. But things did not last long,” Rizzi Capital opines for Seeking Alpha. “The company is now a money bleeding mess, having lost almost $1 billion last quarter alone, with revenue dropping by 45%. It’s a sad story for what was once the most valuable company in Canada.”
“BlackBerry gained it’s massive following not because of it’s appeal to regular consumer users, but because it was the communication device of choice for millions of corporate users. BlackBerry focused on delivering secure communication services over its private enterprise server network and this allowed it to win over enterprise customers worldwide,” Rizzi Capital writes. “This is exactly the same technology which will come to its rescue again and it’s the precise reason Apple Inc (AAPL) will soon see fit to enter negotiations to purchase the company.”
“Let’s make one thing absolutely clear, Apple does not need to buy BlackBerry. Apple has it’s own iMessage service which is comparable although not identical to the BlackBerry messaging service,” Rizzi Capital writes. “It can be argued that most services offered by Apple are already better and in fact more established than those offered by BlackBerry. Regardless of this, there are some very compelling reasons for Apple to spend a tiny fraction of its immense cash hoard and buy this once great company.”
“The main reason that Apple should buy BlackBerry is simply to keep it out of everybody else’s hands. Does Apple really want to see Microsoft, Amazon, Facebook or Google takeover BlackBerry and gain an instant position in the competitive smartphone market? With almost $150 billion dollars just sitting dormant on its balance sheet, Apple could casually toss BlackBerry a few bones and put it out of its misery,” Rizzi Capital writes. “Even if they shuttered the company and never sold another BlackBerry smartphone, they would eliminate a competitor and keep a valuable property from getting into a large competitors hands.”
Read more in the full article here.
MacDailyNews Take: If the main reason why Apple should buy beleaguered BlackBerry is the very same reason why Apple should’ve at one time bought beleaguered Palm, beleaguered RealNetworks, beleaguered Creative Technology, beleaguered ad nauseam, but didn’t, then your logic is fatally flawed.
If BlackBerry was “a valuable property,” they’d still have a future instead of dying on the roadside after being steamrolled by Apple.
Apple’s so-called competitors can scrape up all of the iPhone roadkill they desire. They still won’t be able to compete with Apple. Period.