BlackBerry’s new keyboard phone is doomed to be a noble failure – The Verge (Feb 25, 2017)
I think this headline from the Verge captures my sentiments on this phone pretty well. I have covered BlackBerry as a company pretty closely in the past, and still do to some extent, and whenever I write about them or post charts on Twitter, the first response I almost always get is “I though they went out of business”. The reality is that BlackBerry has dropped so far out of the public consciousness in what were once their biggest markets that a phone like this at this point isn’t really going to get them anywhere. The moment for this phone was years ago, not today, and at this price ($549) it’s not an option for the markets where the BlackBerry brand still means something to consumers, like Indonesia. So many of even those who once insisted on a physical keyboard have now caved to the inevitability of the full touch screen, and the vast majority of those won’t go back now they’ve discovered apps, content stores, and everything else modern smartphones have to offer and BlackBerry devices have never really been able to. At least now the risk is mostly on TCL’s books rather than BlackBerry’s, and the reality is that the hardware business at BlackBerry is so small now (under $100 million in the November 2016 quarter) that this is almost all upside for the company – if TCL doesn’t sell any, that’s more or less a continuation of the tiny hardware revenue BlackBerry has been booking, and if it sells a few hundred thousand, that’s useful additional revenue. But this is very likely to be a tiny overall revenue opportunity for both companies, and I’m curious to see how long TCL sticks with the partnership.
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