We never thought this day would come – actually we did. Blackberry, today via a press release announced the death of the once mighty titan. Blackberry has now sold itself to FairFax for a mere $4.7 billion! This deal brings the once most popular smartphone company to the final stage of its journey – the final death.
Once at its peak time Blackberry was valued at around $77 billion, and that too was back in 2008, a year after the iPhone had been officially launched. Today the company, which no-one would have predicted some years ago, has sold itself at a price of $4.7 billion to FairFax – or at a share price of $9 USD. To put that into contrast; back in 2008, Blackberry shares were valued at $147.55 per share.
Blackberry via a press release announced its “Letter Of Intent (LOI)” that it plans to sell itself to FairFax for $4.7 billion. The deal has to be finalized before 4 November and during that time Blackberry can choose not to sell if certain conditions are not met.
The deal has been almost finalized so it’s definitely going to sell.
Blackberry which started back in 1984, completely revolutionized the mobile industry since the start of the decade – fell due to iPhone’s popularity. Apple’s iPhone completely changed the mobile landscape when it was announced.
Initially major tech companies of that time thought nothing of the iPhone, but the technology had changed, and there were new market contenders. Soon these big companies started losing market share and one by one their deaths were announced.
The first major company that was hit was Palm, and later this month Nokia was on the list too. And, today Blackberry is going to join that list. Although Blackberry is not completely finished. It has gone private. But it will no longer be a major player in the smartphone market.
The death of these companies, which today include Blackberry, just show that a company has to keep innovating itself to survive otherwise it’s going to be kicked-off the market.
Well what are your thoughts on the death of Blackberry?