Welcome back to Stockhouse
Member Sign In

Email or Username:

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.

Enter your email address:
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

BlackBerry (BB) doesn't think it needs testing staff
1 Comment|July 25, 2013

Company plans to continue investing heavily in their new system through 2014 to pick up lost market share
Woes seem to be continuing for Blackberry (TSX: T.BB, Stock Forum), whose shares cannot seems to escape the nine dollar level.

According to The Globe and Mail, the smartphone producer will be laying off 250 product testing staff.

Concern for layoffs was already high as the company laid off 5,000 employees at a similar time last year and struggles to keep costs low.

The announcement comes almost a month after quarter one earnings were reported for an 84 million dollar loss. The real controversy was that Blackberry did not disclose how many Z10 and Q10 phones they sold.

After hoping that their new devices would lead the company’s turnaround, this missing disclosure aided a 25 percent one-day drop. It was later announced that the company may have sold just 2.5 to 3 million units.

This may be an effective cost savings measure if the company doesn’t expect to sell many units.

It’s hard to tell how effective the testers are. On one hand, they seem to be doing well because reviews for their new devices are pretty high. On the other, they sold way below expectations, meaning the testers couldn’t figure out how to make the devices more appealing.

Looking forward, BlackBerry plans to continue investing heavily in their new system through 2014 to pick up lost market share.

Shares of BlackBerry are down almost half a percent to $8.96 on this news.

Read more:

Rate this article
4.5 stars



Interested in these industries and sectors?

Receive investor kits and email updates from Stockhouse and directly from these companies.


You are already a member! Please enter your password to sign in.


simple answer to make the device more appealing. APPS. BB Lacks apps. If BB can get on par with Samsung regarding apps then BB would become a player again.
5 stars
July 25, 2013
Rate this comment
0 stars



Leave a Message

You must be logged in to access this feature.