Latest in Blackberry

Image credit:

BlackBerry steadies the ship but smartphone sales continue to evaporate

Matt Brian, @m4tt
06.19.14
Share
Tweet
Share
Save

Sponsored Links

BlackBerry's plan to cut costs and shift to services is starting to pay dividends. While the company's latest financial earnings report shows it's still suffering losses, they aren't as bad as expected. It certainly wasn't thanks to its smartphones, which were once BlackBerry's main source of revenue, as they fell to just 2.6 million units from 3.4 million in the last quarter. This time around, the Canadian smartphone maker didn't divulge how many BB7 and BB10 handsets it sold, suggesting the newer OS just isn't tempting consumers and businesses to part with their iPhones and Android devices. For reference: BB7 smartphone sales more than doubled those of BlackBerry 10 last quarter.

Again, BlackBerry saw the majority of its revenue (54 percent) come from its services, which CEO Jon Chen believes will help the company become profitable by 2016. But that all hinges on whether it can succeed in providing secure communications for large companies and government agencies. Right now, BlackBerry's cost-cutting measures (and the sale of its Canadian offices) are helping to balance out this quarter's mobile losses. But if it can't boost income from the most profitable part of its business, BlackBerry could fit itself back at square one with no room to cut any more costs.

All products recommended by Engadget are selected by our editorial team, independent of our parent company. Some of our stories include affiliate links. If you buy something through one of these links, we may earn an affiliate commission.
Comment
Comments
Share
Tweet
Share
Save

Popular on Engadget

Engadget's 2019 Back-to-School Guide

Engadget's 2019 Back-to-School Guide

View
A fourth 'Matrix' movie is happening

A fourth 'Matrix' movie is happening

View
NASA confirms mission to Jupiter's moon Europa

NASA confirms mission to Jupiter's moon Europa

View
Ford will reportedly make two more electric SUVs by 2023

Ford will reportedly make two more electric SUVs by 2023

View
The dream of flying taxis may not be too far off

The dream of flying taxis may not be too far off

View

From around the web

Page 1Page 1ear iconeye iconFill 23text filevr