Will BlackBerry become the next Qualcomm or the next Motorola? The choice is in their hands if they make the right moves going forward. The future of BlackBerry seems to depend on whether the new Priv will be a hit. But their future is a much simpler and more direct question, if they understand.
BlackBerry may be starting to show signs of life with the Priv and software. The next question: is that enough? Will they recover? Priv is their first handset not centered around the BlackBerry OS. Rather, it’s a Google Android OS smartphone. Finally.
That’s good since BB10 didn’t seem to move the needle. This means they could possibly strike gold with this new device and all the Android apps. The real question is, will they?
What’s next for BlackBerry?
CEO John Chen has tried to restart the BlackBerry growth engines several times over the last few years. Unfortunately nothing has worked on the handset side. I like Chen. I like his drive and his attitude. He is just what BlackBerry needed. In fact, if he was in the driver’s seat seven years ago before the company started to crash and burn after Apple iPhone and Google Android entered and changed everything, things may have been different.
However, he wasn’t. One big reason for the BlackBerry failure of the last several years was thinking they were invincible. The truth is they are as vulnerable as any company. That attitude made them blind to the coming change wave, and they got clobbered. Just like Motorola did the decade before.
Frankly, I am very surprised that BlackBerry has still made little effort to build a relationship with the analyst community and the media.
Momentum is hard to turn around
Now it has been more than seven years since the big bang. It has been quite a long time since Apple iPhone and Google Android changed the wireless space. Momentum, both up and down, is a hard thing to turn around, especially when it’s traveling at full speed and after a long period of time has passed.
Just ask Motorola. They also went from hero to zero in the blink of an eye when they lost leadership to Nokia and BlackBerry. They too thought they were invincible. And they have not recovered either and it has been almost two decades now.
The BlackBerry choice
So BlackBerry has a choice going forward: handset or software. Other companies moved from one to the other with success. Consider Qualcomm. They made handsets in the 1990’s, but saw the writing on the wall and switched to software, which is now in most wireless handsets industry-wide and their growth exploded over the last 20 years.
BlackBerry has the same kind of growth opportunity in front of them if they play their cards right. Will they is the question? That is unclear.
The choice as BlackBerry sees it seems simple. If the Priv is successful, then they could start to grow again and could become a real competitor again. However, if Priv does not move the needle they may have move out of the handset business altogether and get into software like Qualcomm.
If that’s the case they will have to focus on and rely on their software business as their main growth driver.
This is actually not a bad position for BlackBerry to be in. Their future could be strong in software, but very different. So right now, they see themselves either being a successful Google Android handset maker, or if not, they could transition to the software space.
The BlackBerry mistake
However, the approach is key. Will they be forced to make this change by another failed handset or will they make this change by choice? This point is key.
Today the company appears it is letting the winds of success or failure of Priv direct their future and blow them in one direction or another. This is the mistake.
This appearance in the marketplace is the weak link in the chain. Appearance in the marketplace of customers, competitors and investors is key. Winning is key. Companies and executives must be in charge. They must steer their ship through rough waters.
The question is simply are they in charge of the direction they are heading in? Are they steering the ship? Unfortunately, I think the marketplace see’s BlackBerry as adrift, hoping the winds will ultimately blow them to success, one way or the other.
Perception is key
While I totally understand Chen’s predicament, the problem is the perception of a ship going in the direction of the blowing wind does not make anyone feel like their feet are firmly in the ground. Remember, a ship can either be sunk or stay afloat if it’s direction is either into the wave or into the swell during a storm.
That’s why no matter what, steering the ship must be done by the captain, not the winds. Direction is key, even during the hurricane BlackBerry has been caught in over the last few years.
Strong suggestion
So I think what Chen should do is to boldly go where no company has gone before. He should stand on top of the mountain and say in a strong voice that he is the leader. That BlackBerry is the leader. That BlackBerry is changing. That BlackBerry is different and better than competitors. That BlackBerry sees the new opportunity and is taking a new road into the software business. That BlackBerry will succeed going forward.
That’s what everyone want’s to see and hear. Say they are building and growing their software business and that will be the driver going forward. To focus on BlackBerry strengths like privacy and security. Use Priv to point to the future as a great example of how BlackBerry technology can improve on one of the best OS of all time.
BlackBerry should take charge
Just like Qualcomm did in the 1990’s, BlackBerry should move to the software side with all their might. They should take charge today. Leave no stone unturned. Leave no customer, worker or investor confused. That should be what we think about when we think about Blackberry.
Next, BlackBerry must update their brand. They must change the meaning of their brand. Do this in the minds of the marketplace, the customer, the worker and the investor. This is something they have never done before. Expand the brand.
Fixing the BlackBerry brand problem
Let me ask you a question. Who is BlackBerry? What comes to mind when you think of BlackBerry? They used to be the No. 1 smartphone maker. They used to be one of the hottest tech companies around. But who are they today?
That’s the problem. That’s what BlackBerry needs to fix. That’s what they need to change. If they are a successful software company, they can always try and build their handset business. However, if they are a successful handset business I don’t think they will never be able to grow their software side.
If BlackBerry is smart they will change and update their brand. They will move into the software business, offering their security and privacy to other Google Android handset makers. This could be the secret to their success going forward.
However, they must be in charge. They must steer their own ship. BlackBerry can be great again, just different. Chen should shout to the marketplace, from this moment forward, that BlackBerry is a new and different company, the way Qualcomm did 20 years ago.
Let’s hope they get the message and take charge of their future once again. The choice is simple. Will BlackBerry become the next Qualcomm or Motorola? The choice is their’s.
