BlackBerry Ltd (NASDAQ: BBRY) is having a relatively strong start to the trading session this morning, and for good reason. The company announced that it has signed a deal with Ford Motor Company (NYSE: F). This sparked excitement among investors, leading to gains in the stock and prompting our partners at Trade Ideas to alert us to the movement. At the moment (9:37), BBRY is trading at $10.52 per share after a gain of $0.14 per share (1.35%) thus far today.
BBRY Signs Agreement With Ford
As mentioned above, BlackBerry is having a strong start to the trading session after news broke that the company has signed an agreement to work directly with Ford. The agreement surrounds the expansion of the QNX secure operating system used by Ford. While full details with regard to the deal are being kept quiet, it is expected that the deal surrounds Ford’s efforts with regard to developing its first autonomous vehicle. This is overwhelmingly positive news for BBRY, as this is the first time the company has worked directly with a major auto manufacturer.
While the rumor surfacing says that this has to do with an autonomous vehicle, it could ultimately surround just about any working technology in Ford vehicles – even the audio system. After all, Panasonic Automotive uses the QNX software for its SYNC 3 infotainment console, the same console that it supplies directly to Ford. In a statement, John Wall, head of the BBRY QNX unit, had the following to offer:
“We can form the basis of the entire vehicle all the way from autonomous drive through infotainment…”
The statement above is evidence pertaining to the idea that the deal surrounds the development of autonomous vehicles – something that Ford said it is expecting to produce by the year 2021.
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What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will be keeping a close eye on both BBRY and Ford. In particular, we’re interested in learning more about what the result of this deal will be. We’ll continue to follow the story closely and bring the news to you as it breaks!
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