Research in Motion's downward spiral began with the introduction of the iPhone in 2007.
This former CrackBerry addict is in mourning.
News that BlackBerry is likely to be sold for $4.7 billion to a group of investors led by Prem Watsa -- Canada's version of Warren Buffett – felt like an obituary notice. After several years of ominous reports – including the announcement Friday of 4,500 layoffs and a nearly $1 billion loss -- the end now seems nigh.
The company's downward spiral is all the more unsettling since it made a valiant, last-gasp grab for relevance earlier this year with new smartphones. But by then, the one-time leader had seen its slice of market share shrink to niche status.
"It's like a cancer patient who has gone through treatments that continues to have setbacks," says Bob Egan, an avowed BlackBerry diehard who has used every one of its products since then-Research In Motion operated out of a shopping plaza in late 1980s.
"On Friday, they cut their jugular," says Egan, CEO of market researcher Sepharin Group. "Maybe (the imminent sale) saves them."
At one time, the notion of BlackBerry getting buried seemed absurd. Owning a device to make calls and exchange e-mail was once considered cool, and the company's fortunes soared.
When RIMM went public in 1997, some speculated the stock might kiss $1,000 a share. The upstart tech company only trailed Nortel among Canadian-based companies in market value. BlackBerry devotees – jokingly referred to as CrackBerrys – numbered in the millions. President Obama was among the faithful, who tapped constantly on their sleek little devices.
Then, along came iPhone in 2007.
BlackBerry was my hand-held device of choice for several years before I switched, reluctantly, to the iPhone nearly two years ago – mainly because of peer pressure. In Silicon Valley, where one's self-worth and esteem are often measured by the device you use, BlackBerry was considered hopelessly behind the times.
Not only did Apple become the "cool" gadget of choice, but applications developers by the thousands followed to iOS and Android phones. Even corporate customers who liked BlackBerry's reliability and security drifted as smartphones became more ubiquitous and easier to manage. (Adding insult, Apple sold a record 9 million iPhones over the weekend.)
The remnants of my long-discarded BlackBerry rest at the bottom of my backpack – a memorial to the days when BlackBerry ruled. The device remains prevalent in Europe and pockets of the USA, like the federal government.
Going private may be the best possible outcome for BlackBerry, shielding it from the unfriendly scrutiny of Wall Street, argue tech experts such as Eugene Signorini, an analyst with Mobiquity.
Yet the inevitable descent of BlackBerry leaves this former addict with the unmistakable feeling of a death in the family.
Courtesy: USAtoday
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