Blackberry announces low cost smartphone Z3 — another sign for the company’s struggle to survive?

blackbery-250x250Under a new five year partnership with Foxconn, a Taiwan based electronics manufacturing company, Blackberry has announced to soon launch low-cost phone in Indonesia. According to the company’s recent announcement at the Mobile World Congress, the Indonesian phone Z3 will be available for less than USD 200 without subsidies. The phone will however be made available in other Southeast Asian markets.

Furthermore, the company said that it is planning to focus on other B2B services as well, rather than investing full-time in its email and messaging capabilities. This will include B2B services for businesses who require secure communications, particularly in regulated industries like healthcare and financial services.  

Blackberry has always positioned itself as of the leading smartphone manufacturing company for on-the-go business people. It has designed and released phones that could handle more than just email and calls. But competition from other newage leading smartphone manufacturing companies like Samsung and Apple has given Blackberry a hard time to survive. According to a report by IDG, Blackberry’s worldwide smartphone market share in the fourth quarter of 2013 stood at a depressing value of 0.6%.

Moreover, the company reported a USD 4.4 billion loss and a 56 percent drop in its revenue but promised that it still holds plenty of cash to introduce innovation in its products and take the company towards a better future.

Well, introduction of some new technology innovation surely would have given much sweeter results, but “simplifying its pricing and letting people upgrade to the latest systems for free this year” as it perhaps has announced at the latest Mobile Congress, would not possibly help the company re-position itself in the market. Let us know what you think.

The author can be reached at devesh@iamwire.com

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