The days when BlackBerry was considered the best professionally used smartphone is now over. Fairfax Financial Holdings Ltd., a Toronto-based financial holdings conglomerate has come forward to pay $4.7 billion to acquire BlackBerry.
BlackBerry officially announced that the company had already signed a letter of intent with Fairfax Financial Holding Ltd. for $9 per share. BlackBerry has been continuously failing to make an impact in the market, and has was being considered to be lacking innovation to stay in the market.
BlackBerry’s shares are trading only at $8.25 before the announcement came out from the company about the Fairfax deal. When all the procedures are complete, BlackBerry would go private. BlackBerry has been having a tough time ever since the launch of iPhone in the market, back in 2007.
Once the company goes private, the management should make sure that the company survives with its existing employee force, which was recently cut down by 35%.
Mr. Prem Watsa, CRO of Fairfax said that the future of BlackBerry lies with secure enterprise solutions which the company has been planning for a while. And we would not be surprised if BlackBerry moves out of the consumer market, and provide their services only to the corporate.
So, today, the company has fallen down, failing to make an impact in the market and failing to change their strategies at the right time.