BB - BlackBerry

[Guest wellmont]

bbry wants to own the most popular physical smart phone format of 10 years ago. bbry goes back to the future.

 

http://www.thestar.com/business/2014/01/07/blackberry_to_return_to_physicalkeyboard_roots_new_ceo_says_at_ces.html

[txlaw]

here's the problem for bbry and it's vaporware. this adroid alliance for cars is going to tie your android phone to the car computer that will run android. apple is going to do the same thing. msft is going to do the same thing. I can imagine a day when the car buyer can choose which system he wants in his car, ios, android, or windows. bbry is on the outside looking in under this scenario, since they don't sell any phones to tie to your car computer. I expect bbry to continue to lose market share, rapidly now, with qnx in automobiles. the only place it gets any significant revenue from qnx.

 

so now we know why the stock was running. because someone knew bbry was going to do a big PR push at CES. so the news was sold today. I can't wait till bbry starts to actually introduce something other than press releases.

 

Who knows why the "stock was running"?  I certainly don't.

 

Your point about car buyers being able to choose which platforms or apps they want in their car is also my point.  BBRY is trying to make QNX enable that sort of world.  But it's even more than that because the purveyors of those dominant platforms (iOS, Android, and Windows) are trying to tie their own software and services into them.  But auto manufactures don't want to have a situation where a customers says that they want the Windows platform in their car, which results in the use of MSFT-only services.  Choice is better, especially if the car manufacturers wish to partner with other vendors.

 

So we shall see how this plays out.  QNX is far from "vaporware."

[Guest wellmont]

the world does not need bbry in the car. it has apple google and msft in the car. bbry has no place in the value chain. Perhaps you can be specific and tell us why we need QNX in the car? for example, does bbry offer Maps? No? Apple Google and Microsoft each can offer map services. Does bbry offer a browser? No? Each of those companies offers it's own browser. Now that the car is connected to the cloud, QNX has lost it's advantages. what value does QNX bring to the car when it is cloud connected?

[Guest valueInv]

here's the problem for bbry and it's vaporware. this adroid alliance for cars is going to tie your android phone to the car computer that will run android. apple is going to do the same thing. msft is going to do the same thing. I can imagine a day when the car buyer can choose which system he wants in his car, ios, android, or windows. bbry is on the outside looking in under this scenario, since they don't sell any phones to tie to your car computer. I expect bbry to continue to lose market share, rapidly now, with qnx in automobiles. the only place it gets any significant revenue from qnx.

 

so now we know why the stock was running. because someone knew bbry was going to do a big PR push at CES. so the news was sold today. I can't wait till bbry starts to actually introduce something other than press releases.

 

Who knows why the "stock was running"?  I certainly don't.

 

Your point about car buyers being able to choose which platforms or apps they want in their car is also my point.  BBRY is trying to make QNX enable that sort of world.  But it's even more than that because the purveyors of those dominant platforms (iOS, Android, and Windows) are trying to tie their own software and services into them.  But auto manufactures don't want to have a situation where a customers says that they want the Windows platform in their car, which results in the use of MSFT-only services.  Choice is better, especially if the car manufacturers wish to partner with other vendors.

 

So we shall see how this plays out.  QNX is far from "vaporware."

 

But the IoT and M2M service s and applications you keep talking about certainly are

[constructive]

BBRY bulls are right about one thing. Their OS is commoditizing / moving down the value chain / becoming invisible to the consumer, even if iOS / Android / Windows aren't.

[A_Hamilton]

Is it positive or negative that FFH hasn't brought partners into this deal?

 

January 8, 2014

Fairfax to Purchase Additional Convertible Debentures

WATERLOO, ONTARIO--(Marketwired - Jan. 8, 2014) - BlackBerry® Limited (NASDAQ:BBRY)(TSX:BB), a world leader in mobile communications, announced today that Fairfax Financial Holdings Limited has agreed to purchase, through its subsidiaries, an additional $250,000,000 principal amount of 6% unsecured subordinated convertible debentures of BlackBerry (the "Debentures"). The additional Debentures will be purchased pursuant to the exercise of a previously-announced option that was granted in connection with BlackBerry's private placement of $1 billion principal amount of Debentures on November 13, 2013, and the transaction will be completed on or before January 16, 2014.

 

About BlackBerry

 

A global leader in mobile communications, BlackBerry® revolutionized the mobile industry when it was introduced in 1999. Today, BlackBerry aims to inspire the success of our millions of customers around the world by continuously pushing the boundaries of mobile experiences. Founded in 1984 and based in Waterloo, Ontario, BlackBerry operates offices in North America, Europe, Asia Pacific and Latin America. The company trades under the ticker symbols "BB" on the Toronto Stock Exchange and "BBRY" on the NASDAQ. For more information, visit www.blackberry.com.

 

The convertible debentures have not been and will not be registered under the U.S. Securities Act of 1933 (the "U.S. Securities Act"), and may not be offered or sold in the United States or to, or for the account or benefit of U.S. persons (as defined in Regulation S under the U.S. Securities Act), absent registration or an applicable exemption from registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the convertible debentures in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state.

 

Forward-looking statements in this news release are made pursuant to the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws. When used herein, words such as "expect", "anticipate", "estimate", "may", "will", "should", "intend", "believe", and similar expressions, are intended to identify forward-looking statements. Forward-looking statements are based on estimates and assumptions made by BlackBerry Limited in light of its experience and its perception of historical trends, current conditions and expected future developments, as well as other factors that BlackBerry believes are appropriate in the circumstances. Many factors could cause BlackBerry's actual results, performance or achievements to differ materially from those expressed or implied by the forward-looking statements, including those described in the "Risk Factors" section of BlackBerry's Annual Information Form, which is included in its Annual Report on Form 40-F (copies of which filings may be obtained at www.sedar.com or www.sec.gov). These factors should be considered carefully, and readers should not place undue reliance on BlackBerry's forward-looking statements. BlackBerry has no intention and undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

 

[txlaw]

the world does not need bbry in the car. it has apple google and msft in the car. bbry has no place in the value chain. Perhaps you can be specific and tell us why we need QNX in the car? for example, does bbry offer Maps? No? Apple Google and Microsoft each can offer map services. Does bbry offer a browser? No? Each of those companies offers it's own browser. Now that the car is connected to the cloud, QNX has lost it's advantages. what value does QNX bring to the car when it is cloud connected?

 

I think you may be confusing QNX with BB10.

 

QNX operates on a a lower level than BB10.  It talks to the car's hardware and sensors and provides an interface for software and service vendors to safely plug into the connected car (because the kernel it is built on is more secure and reliable than others).  Thus, QNX can offer cloud connectivity that is more secure than other vendors, but that still allows other platforms or application environments like iOS and Android to run at a higher level in the car.  And it also gives other vendors inroads into the car who would otherwise be shutout by the higher level OS providers (e.g., GOOG and AAPL). 

 

For example, let's say you buy a Mercedes running QNX Car.  You have a number of choices with respect to the features of your connected car. 

 

For navigation, you could choose between a number of vendors.  You could go with Nokia HERE because you think that it is superior for navigation in Europe and because you like the additional connected services they offer.  Or you could install the car-optimized Google Maps Android app for navigation instead because you like how you can access the routes you have saved from your desktop use.  Or you could go with Elektrobit's solution instead (for whatever reason). 

 

For music, you could go with a pre-loaded "native" app from, say, Clear Channel or Sirius.  Or perhaps you could install your choice of car-optimized Android music apps -- for example, perhaps the Spotify Android app.  Or if you really want voice recognizition to work with your music app, perhaps there is some alternative music app that works with Nuance's voice recognition service, which is supported on QNX Car.  Or you could simply use your phone or tablet (could be either an Android device or an iOS device) and the Miracast functionality incorporated into QNX Car to pump music from your music library (or Spotify) over the speakers.

 

For web browsing, you could simply mirror whatever you have on your mobile device using Miracast.  Or perhaps there would be a "native" web browser built for QNX Car by some non-traditional browser vendor that works with voice commands.  Maybe Mozilla, for example, would build Firefox for the Car.

 

Point being is that QNX absolutely has a place in the car.  You need some embedded OS in there.  And one that enables choice is good for customers, car manufacturers, and vendors who do not have the ability to tie their services to a high level OS.

 

So the real question is not what value does QNX bring to the connected car, but how can BBRY monetize this?

 

My thinking is that BBRY should try (notice I'm not predicting success) to monetize QNX in the car (and in other connected machines/devices) the same way that they are are trying to monetize their software and services in mobile.  By offering secure data transmission services and MDM.  For example, say you have a fleet of service vehicles that are taking in proprietary data constantly and that need to send this data to some remote location for big data analysis.  You want that proprietary data to be secure at the vehicle level and as it goes through the air.  Then to the extent that you have people manning these vehicles, you might want to give them Android apps to use but prevent them from installing other Android apps that might pose security problems.  Thus, you would use BBRY's car-focused MDM solution to manage what runs on each connected vehicle.

 

Again, it's the M2M/IoT related biz model that I see as the only way for BBRY to monetize QNX.  Licensing QNX won't cut it, even over the short term.

[Guest wellmont]

nobody needs bb10 on phones or in cars. it's too little too late. the big news out of CES this week is that the phone OS will be tied to the car OS. bbry has no phones to tie to cars. that's the big news this week. bb10 brings nothing to the table that can't be served up by goog apple and msft, which happen to be the same companies that vanquished bbry once and for all in mobile phone business. there is no reason to think bbry will do any better in Cars.  It's one thing to say that bbry "should" monetize the connected car. that's self evident. it's yet another to say how they will. And right now, there is nothing you can point to. no product. no service. no revenue. no profit. not even a concept of how they may make money.

[Guest wellmont]

Is it positive or negative that FFH hasn't brought partners into this deal?

 

January 8, 2014

Fairfax to Purchase Additional Convertible Debentures

WATERLOO, ONTARIO--(Marketwired - Jan. 8, 2014) - BlackBerry® Limited (NASDAQ:BBRY)(TSX:BB), a world leader in mobile communications, announced today that Fairfax Financial Holdings Limited has agreed to purchase, through its subsidiaries, an additional $250,000,000 principal amount of 6% unsecured subordinated convertible debentures of BlackBerry (the "Debentures"). The additional Debentures will be purchased pursuant to the exercise of a previously-announced option that was granted in connection with BlackBerry's private placement of $1 billion principal amount of Debentures on November 13, 2013, and the transaction will be completed on or before January 16, 2014.

 

About BlackBerry

 

A global leader in mobile communications, BlackBerry® revolutionized the mobile industry when it was introduced in 1999. Today, BlackBerry aims to inspire the success of our millions of customers around the world by continuously pushing the boundaries of mobile experiences. Founded in 1984 and based in Waterloo, Ontario, BlackBerry operates offices in North America, Europe, Asia Pacific and Latin America. The company trades under the ticker symbols "BB" on the Toronto Stock Exchange and "BBRY" on the NASDAQ. For more information, visit www.blackberry.com.

 

The convertible debentures have not been and will not be registered under the U.S. Securities Act of 1933 (the "U.S. Securities Act"), and may not be offered or sold in the United States or to, or for the account or benefit of U.S. persons (as defined in Regulation S under the U.S. Securities Act), absent registration or an applicable exemption from registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the convertible debentures in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state.

 

Forward-looking statements in this news release are made pursuant to the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws. When used herein, words such as "expect", "anticipate", "estimate", "may", "will", "should", "intend", "believe", and similar expressions, are intended to identify forward-looking statements. Forward-looking statements are based on estimates and assumptions made by BlackBerry Limited in light of its experience and its perception of historical trends, current conditions and expected future developments, as well as other factors that BlackBerry believes are appropriate in the circumstances. Many factors could cause BlackBerry's actual results, performance or achievements to differ materially from those expressed or implied by the forward-looking statements, including those described in the "Risk Factors" section of BlackBerry's Annual Information Form, which is included in its Annual Report on Form 40-F (copies of which filings may be obtained at www.sedar.com or www.sec.gov). These factors should be considered carefully, and readers should not place undue reliance on BlackBerry's forward-looking statements. BlackBerry has no intention and undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

 

one thing is for certain. he is making sure he is at the top of the capital structure. companies sell CNV debt when their equity is richly valued. So this makes perfect sense.

[Guest valueInv]

the world does not need bbry in the car. it has apple google and msft in the car. bbry has no place in the value chain. Perhaps you can be specific and tell us why we need QNX in the car? for example, does bbry offer Maps? No? Apple Google and Microsoft each can offer map services. Does bbry offer a browser? No? Each of those companies offers it's own browser. Now that the car is connected to the cloud, QNX has lost it's advantages. what value does QNX bring to the car when it is cloud connected?

 

I think you may be confusing QNX with BB10.

 

QNX operates on a a lower level than BB10.  It talks to the car's hardware and sensors and provides an interface for software and service vendors to safely plug into the connected car (because the kernel it is built on is more secure and reliable than others).  Thus, QNX can offer cloud connectivity that is more secure than other vendors, but that still allows other platforms or application environments like iOS and Android to run at a higher level in the car.  And it also gives other vendors inroads into the car who would otherwise be shutout by the higher level OS providers (e.g., GOOG and AAPL). 

 

Why do the apps car need security?

What does QNX offer in connectivity  that Android  and iOS don't?

Why won't people just use SSL?

 

 

For example, let's say you buy a Mercedes running QNX Car.  You have a number of choices with respect to the features of your connected car. 

 

For navigation, you could choose between a number of vendors.  You could go with Nokia HERE because you think that it is superior for navigation in Europe and because you like the additional connected services they offer.  Or you could install the car-optimized Google Maps Android app for navigation instead because you like how you can access the routes you have saved from your desktop use.  Or you could go with Elektrobit's solution instead (for whatever reason). 

 

For music, you could go with a pre-loaded "native" app from, say, Clear Channel or Sirius.  Or perhaps you could install your choice of car-optimized Android music apps -- for example, perhaps the Spotify Android app.  Or if you really want voice recognizition to work with your music app, perhaps there is some alternative music app that works with Nuance's voice recognition service, which is supported on QNX Car.  Or you could simply use your phone or tablet (could be either an Android device or an iOS device) and the Miracast functionality incorporated into QNX Car to pump music from your music library (or Spotify) over the speakers.

 

For web browsing, you could simply mirror whatever you have on your mobile device using Miracast.  Or perhaps there would be a "native" web browser built for QNX Car by some non-traditional browser vendor that works with voice commands.  Maybe Mozilla, for example, would build Firefox for the Car.

So we are going to be browsing while we are driving?  :o

 

Point being is that QNX absolutely has a place in the car.  You need some embedded OS in there.  And one that enables choice is good for customers, car manufacturers, and vendors who do not have the ability to tie their services to a high level OS.

 

So the real question is not what value does QNX bring to the connected car, but how can BBRY monetize this?

 

My thinking is that BBRY should try (notice I'm not predicting success) to monetize QNX in the car (and in other connected machines/devices) the same way that they are are trying to monetize their software and services in mobile.  By offering secure data transmission services and MDM.  For example, say you have a fleet of service vehicles that are taking in proprietary data constantly and that need to send this data to some remote location for big data analysis.  You want that proprietary data to be secure at the vehicle level and as it goes through the air.  Then to the extent that you have people manning these vehicles, you might want to give them Android apps to use but prevent them from installing other Android apps that might pose security problems.  Thus, you would use BBRY's car-focused MDM solution to manage what runs on each connected vehicle.

 

Again, it's the M2M/IoT related biz model that I see as the only way for BBRY to monetize QNX.  Licensing QNX won't cut it, even over the short term.

 

And who is running a fleet of services that needs big data analysis? And why is this data in need of higher security than that provided by SSL?

[deadspace]

Prem Watsa was reported to have made an equity purchase last week of roughly $1 miilon. So it's not true that he won't touch the equity.

[Guest wellmont]

Prem Watsa was reported to have made an equity purchase last week of roughly $1 miilon. So it's not true that he won't touch the equity.

 

he is certainly not risking fairfax capital on bbry equity. I understand he is a billionaire. that means at most this represents .10% of his nw.

[ERICOPOLY]

 

 

For example, let's say you buy a Mercedes running QNX Car.  You have a number of choices with respect to the features of your connected car. 

 

For navigation, you could choose between a number of vendors.  You could go with Nokia HERE because you think that it is superior for navigation in Europe and because you like the additional connected services they offer.  Or you could install the car-optimized Google Maps Android app for navigation instead because you like how you can access the routes you have saved from your desktop use.  Or you could go with Elektrobit's solution instead (for whatever reason). 

 

For music, you could go with a pre-loaded "native" app from, say, Clear Channel or Sirius.  Or perhaps you could install your choice of car-optimized Android music apps -- for example, perhaps the Spotify Android app.  Or if you really want voice recognizition to work with your music app, perhaps there is some alternative music app that works with Nuance's voice recognition service, which is supported on QNX Car.  Or you could simply use your phone or tablet (could be either an Android device or an iOS device) and the Miracast functionality incorporated into QNX Car to pump music from your music library (or Spotify) over the speakers.

 

For web browsing, you could simply mirror whatever you have on your mobile device using Miracast.  Or perhaps there would be a "native" web browser built for QNX Car by some non-traditional browser vendor that works with voice commands.  Maybe Mozilla, for example, would build Firefox for the Car.

So we are going to be browsing while we are driving?  :o

 

Browsing while driving?  Of course.  The Tesla Model S has a browser and it's great for the car.  Very convenient.

[Guest valueInv]

 

 

For example, let's say you buy a Mercedes running QNX Car.  You have a number of choices with respect to the features of your connected car. 

 

For navigation, you could choose between a number of vendors.  You could go with Nokia HERE because you think that it is superior for navigation in Europe and because you like the additional connected services they offer.  Or you could install the car-optimized Google Maps Android app for navigation instead because you like how you can access the routes you have saved from your desktop use.  Or you could go with Elektrobit's solution instead (for whatever reason). 

 

For music, you could go with a pre-loaded "native" app from, say, Clear Channel or Sirius.  Or perhaps you could install your choice of car-optimized Android music apps -- for example, perhaps the Spotify Android app.  Or if you really want voice recognizition to work with your music app, perhaps there is some alternative music app that works with Nuance's voice recognition service, which is supported on QNX Car.  Or you could simply use your phone or tablet (could be either an Android device or an iOS device) and the Miracast functionality incorporated into QNX Car to pump music from your music library (or Spotify) over the speakers.

 

For web browsing, you could simply mirror whatever you have on your mobile device using Miracast.  Or perhaps there would be a "native" web browser built for QNX Car by some non-traditional browser vendor that works with voice commands.  Maybe Mozilla, for example, would build Firefox for the Car.

So we are going to be browsing while we are driving?  :o

 

Browsing while driving?  Of course.  The Tesla Model S has a browser and it's great for the car.  Very convenient.

 

What do you browse to when you drive? And you haven't gotten any tickets?

[fareastwarriors]

http://www.nytimes.com/reuters/2014/01/13/business/13reuters-blackberry-management.html?src=busln&_r=0

 

 

BlackBerry CEO Hires Another Former Colleague to Drive Turnaround

[Grenville]

From the FFH 13D posted 1/10/14

http://www.sec.gov/Archives/edgar/data/915191/000119312514008108/d655286dsc13da.htm

 

“On December 24, 2013, 1109510 purchased 129,000 Shares in the open market at a price per share of U.S.$7.7071 per share. On December 30, 2013, US Fire transferred U.S.$25 million principal amount of Debentures to North River. On January 8, 2014, Fairfax exercised the option to purchase, through its subsidiaries, an additional U.S.$250 million principal amount of Debentures.

 

[phil_Buffett]

prem watsa has now 101million Shares? so he doubled his Position? because before that he only has 9% stake in Blackberry or iam missing something?

 

and on gurufocus stands that he bought 2 todays ago the 50million Shares

[Redskin212]

Are the Debtentures not convertible?  I think they are showing their full position including the convert of the debentures.

[Grenville]

From the FFH 13D posted 1/10/14

http://www.sec.gov/Archives/edgar/data/915191/000119312514008108/d655286dsc13da.htm

 

“On December 24, 2013, 1109510 purchased 129,000 Shares in the open market at a price per share of U.S.$7.7071 per share. On December 30, 2013, US Fire transferred U.S.$25 million principal amount of Debentures to North River. On January 8, 2014, Fairfax exercised the option to purchase, through its subsidiaries, an additional U.S.$250 million principal amount of Debentures.

 

Yeah, the 13D shows a converted position, I posted the above to show that he did purchase BB shares for himself. I couldn't find any details of this before.

[Guest wellmont]

blackberry reports that it has sold some phones.

 

http://www.businessweek.com/articles/2014-01-16/blackberry-announces-datev-will-buy-1-000-phones

[cwericb]

This was posted elsewhere by LowIQinvestor and I thought some here would be interested:

 

Citron looks at a $15 Target – Minimum

http://www.citronresearch.com/

 

As a short seller, nothing creates a better investment opportunity than a heavily shorted stock based on a flawed thesis.  This creates unique trading opportunities that are relatively infrequent.  Citron thinks this unique circumstance now applies to Blackberry [formerly Research in Motion:  NASDAQ:BBRY) ].

 

Blackberry was such a ubiquitous handset brand just a few years ago, and fell off the radar so brutally, that short sellers have failed to realize that its identity no longer defines the company. Also, when seeking short sale opportunities, we always look for “bad” or “misguided” management.  If that is still your thesis with Blackberry, we suggest it is time to exit.

 

Let’s start here:  Blackberry completely blew a market leadership position, which it will never recover. They lost their dominant handset business, and had their lunch eaten by Apple and Google.  That was then.  Get over it.  x

 

 

 

http://www.citronresearch.com/wp-content/uploads/2014/01/the-new-bbry-final.pdf

[bmichaud]

Do Wellmont and valueinv have any thoughts on this article detailing why BBRY is entirely different post-Foxconn deal?

 

My guess is Sanjeev was loading up at the recent bottom, as he has not commented on the stock in awhile....

[Guest wellmont]

I don't see it. I don't see anybody wanting bbry phones. it's more than just paying somebody else to make your phones. I don't see demand for the phones. ever. bbry will eventually totally exit the phone business. they just keep putting off day of reckoning.  imo paying somebody else to make phones that nobody will want was the first baby step of admitting that. This report was essentially about creating a short squeeze going into options expiration. The report was released the morning options expired and true to form the stock took out the $9 strike. These are the "games people play" when you can speculate with impunity.

 

I don't seek to view bbry as a business and stock anymore. I look at it as a trading sardine. right now sardines are in hot demand, regardless of their "taste". I said weeks ago that this disastrous situation would actually be good for the stock in the short run. because now, all that stands in the way of bbry and higher prices is "imagination" (and money printing).

[Guest valueInv]

Do Wellmont and valueinv have any thoughts on this article detailing why BBRY is entirely different post-Foxconn deal?

 

My guess is Sanjeev was loading up at the recent bottom, as he has not commented on the stock in awhile....

 

Here are my thoughts on the article:

 

1, Blackberry didn't exactly unload the device business onto Foxconn, they unloaded the inventory risk to Foxconn in return for a share of revenues:

    http://techcrunch.com/2013/12/20/blackberry-foxconn-phone/

    They still bear the cost of setting up production lines. They moved to Foxconn because their previous manufacturing partner quit on them.

 

2, He quotes this misleading statement from John Chen on MDM:

    "With a global enterprise customer base exceeding 80,000, we have three times the number of customers compared to Good, AirWatch and MobileIron combined," he said. "This makes BlackBerry the leader in mobile device management."

 

    Yes, they have that customer base. But most of that is likely managing legacy Blackberry devices. So enterprises will be running a BES server even if 10 people on BBRY devices. But that won't last for long. When it comes to managing Android or iOS devices, its still open in the enterprises. The fact that JC is making statements like that is not a good sign.

 

3, On the Google Play reviews and downloads - Google Play isn't the only way to distribute apps on Android. Are Airwatch and MobileIorn installed in other ways on the device.

 

4, Just because MobileIorn and Airwatch are valued at a $!B doesn't mean that BB10's business should be. It would depend on how much it is makin g and how fast it is growing. Where is that data?

 

5, QNX does well in the automotive vertical. This is likely because they have better infrastructure to integrate with cars. This does not necessarily translate to other verticals. Besides, both iOS and Android are making their moves into automotive, leaving QNXs future in that vertical uncertain.

 

6, If you are going to value BBM - what is their revenue model?

 

7, John Chen - there are plenty of managers that were great in the past but failed when they went to new companies - Carol Bartz, Leo Apotheker, etc. Just because he succeeded once doesn't mean he'll succeed every time. So far, I haven't seen anything convincing from JC but I have seen many misleading comments from him. BBRY has had a history of misleading the market, so something tells me the PR squad is still at work.

 

Bottom line, the article is really flimsy analysis. I've still yet to see someone present a realistic bull case on BBRY.

[Guest valueInv]

I don't see it. I don't see anybody wanting bbry phones. it's more than just paying somebody else to make your phones. I don't see demand for the phones. ever. bbry will eventually totally 100% exit the phone business someday. they just keep putting off day of reckoning.  imo paying somebody else to make phones that nobody will want was the first baby step of admitting that. This report was essentially about creating a short squeeze going into options expiration. The report was released the morning options expired and true to form the stock took out the $9 strike. These are the "games people play" when you can speculate with impunity.

 

I don't seek to view bbry as a business and stock anymore. I look at it as a trading sardine. right now sardines are in hot demand, regardless of their "taste". I said weeks ago that this disastrous situation would actually be good for the stock in the short run. because now, all that stands in the way of bbry and higher prices is "imagination" (and money printing).

 

Read the article. The whole point is that BBRY is no longer a device company.