Tech & Gadgets

Blackberry Could Shut Down Smartphone Business

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BlackBerry CEO John Chen
BlackBerry CEO John Chen

Blackberry could soon quit the smartphone business. There are several indications toward the end of once one of the best smartphone makers.

In October 2015, Blackberry CEO John Chen confirmed that the company will shut down the smartphone business if it was not profitable in a year. Now, sales of recently released Blackberry DTEK 50 indicates that this is finally going to happen. Reports claim that DTEK 50 is facing dismal sales.

Blackberry released DTEK 50 in the last month with a $335 price. Now, just weeks after its launch the device is available at more than 10% discount. This is clear indication that Blackberry DTEK 50 has failed to make an impression on the mobile phone market. The deadline is approaching and the company seems to have no plans for any other mobile phone in future.

BlackBerry DTEK50 (Neon)

DTEK50

Related: Android-Powered DTEK50 (Neon) Priced at $299: Should You Buy?

Furthermore, Blackberry’s attempt to re-enter the market with Priv has failed. Officials claim that the main reason behind the flop show was the overprice of the device. Although the company offered a price cut, the improvements were minimal, reported ?Investopedia.

blackberry

Priv

 

Also read: Priv Deals: Now Available for Just $299 Ahead of Next-Gen Handset?s Release.

In another report Investopedia mentioned that the the company has lost 70% of its value within last decade. Blackberry?s per share valued approximately $28 in August 2006 on a ?split-adjusted basis.? It reached maximum at $148 in June and since then the share are declining continuously. Now, the price of each share is below $10 for more than one year.

Moreover, the company is offering is offering 40% discount on selected accessories until September 27. The firm might be thinking to clear the current inventories before it logs off its smartphone business. This could be sad news for Blackberry fans, unfortunately it is highly likely that that company will not survive any more.

According to Forbes, company’s?shares are being sold below its actual price. Blackberry Limited enters oversold territory with RSI reading of 29.7. The value of each share was $7.24 on September 13.

Blackberry Logo

However, Blackberry is yet to reveal about its future plans about mobile phone business. TheBitBag team will update the information as soon as more details emerge.

Recommended: BB Classic to be Discontinued; New State-of-the-Art Devices Set to Rule 2016 & Beyond.

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