BlackBerry, the Canadian phone manufacturer that was once known as an empire and the world leader in enterprise software, and the professional, government, and business use smartphone sector, has been struggling for the past 2 years over repeatedly poor device performance and rapid loss of market share. Whether due to changing leadership, lack of a “hip” product, Apple’s move towards enterprise, or simply a shift in the way that professionals and regular consumers alike think about their smartphones, whatever the reason, BlackBerry has been in troubled waters. After two botched phone releases last year of the BlackBerry Z10 and Q10, which were met with poor reviews and even worse sales performance, BlackBerry went up to bat again this year with the BlackBerry Passport. The Passport was one last attempt to corner or even entice the business professional market by going back to their roots with a device catered specifically at business folk. The Passport, aptly named due to its shape and size resembling that of a passport, which the traveling businessman often carries, was basically BlackBerry’s last hope. After having raised an emergency amount of extra funding last year to support the company through this release, investors are starting to relax just a little from the death grip they held on the smartphone company blackberry battery repair
BlackBerry’s last hope
Now it seems thought that BlackBerry may once again be inching it’s way up the stock charts as rumors begin to spread about another possible buyout. BlackBerry Limited, previously known as Research in Motion, has been ripe for a buyout since the stock plunged below double digits last year. With valuation, profits, employment, cash flow, and sales dropping at an alarming rate over the course of a year, rumors surrounding a possible acquisition are not unexpected. What makes this rumor unique however is that is not the first time it was surfaced. Lenovo is the rumored savior once again. Just last year when BlackBerry was at it’s weakest, it was rumored that Lenovo was in talks to acquire the company. This time around it is rumored that they may be interested in paying around $15 a share and perhaps even as high as $18 a share. Blackberry (BBRY) currently stands at just over $10 a share, and rose 10% Monday morning on news of the possible acquisition. This rumor however, whether substantiated or not, is not met without repudiation. When Lenovo buyout rumors were at their strongest in 2013 as BlackBerry seemingly looked or a way out, the Canadian government strongly suggested to BlackBerry that an acquisition by Lenovo would not receive the proper regulatory approvals necessary to move forward, citing security concerns. The issue appears to be that the serves currently owned and operated by BlackBerry under their enterprise umbrella, play home to thousands of Canadian companies and their data, as well as government and military entities around the world. The ‘Industry Canada Act’ prohibits the acquisition of a Canadian company b a foreign company without regulatory approval. Neither company has commented on the rumor.