BlackBerry Ltd (NASDAQ: BBRY)
There’s no denying the fact that BlackBerry has had a rough time in the market over the past couple of years. However, there is a solid argument for the idea that the company is starting on a clear path toward recovery. Over the years, BBRY has made several changes that are likely to send the stock in the right direction. Today, we’ll talk about those changes and whether or not it’s time to start looking at BBRY as a solid investment opportunity.
BlackBerry’s Move From Hardware To Software
At one point in time, BlackBerry was known for the incredible hardware the company created, specifically its smartphones. However, under the leadership of the company’s new CEO, John Chen, BBRY is changing its focus. One of the big changes we’ve seen is the company’s move to take advantage of its software. This can be seen specifically in the smartcars market. It’s no secret that just about every major tech company is investing in this market, but the reality is that BBRY is making some of the biggest moves.
In the latest news surrounding smartcars, Ford Motor Company (NYSE: F) announced that it is entering into a partnership with BlackBerry. Under the new partnership, Ford will be integrating smartphone apps into cars by taking advantage of BlackBerry’s QNX software in conjunction with Ford’s Smart Device Link technology. However, that’s not where the story ends. In fact, BBRY seems to be ahead of the game as its QNX software is currently powering infotainment systems in Mercedes, Audi, BMW, Toyota, Honda, Ford, and Hyundai. Considering the fact that BBRY software is already being used in the majority of smartcars, it seems as though the company may lead the market, not only now, but in the future.
BBRY Is Making Big Moves With Smartphones Too
At the outset of innovation in smartphones, BBRY led the charge. However, as the years passed and smartphones continued to evolve, the company quickly lost market share. By the end of last year, its market share in the smartphone space had fallen to below 1%. However, the company is working to change that.
BlackBerry knows that the reason its smartphones lost popularity has nothing to do with its hardware. Ultimately, as the years passed, more and more companies started making smartphones available, and the emergence of new operating systems was inevitable. Soon iOS and Android became the operating systems of choice among consumers. Knowing this, BBRY recently launched the Priv smartphone. The Priv combines the incredible security and hardware that we’ve come to know and love from BlackBerry with the incredibly popular Android operating system. As a result, sales of the device blew away expectations. Based on the success of the Priv, I’m expecting to see more phones along the same lines moving forward, leading to smartphone success once again.
Will 2016 Be The Year Of Rebound For BlackBerry?
In my opinion, 2016 is going to be an incredible year for BlackBerry. The company has made some impressive changes already under the leadership of John Chen, and based on what we’ve seen as of late, I’m expecting to see more by way of positive news from the stock.
What Do You Think?
Where do you think BBRY is headed moving forward? Let us know your opinion in the comments below!
[Image Courtesy of Wikipedia]