Feeds

Government intervention unlikely for beleaguered BlackBerry

Canadian minister casts gloom on bailout hopes

New hybrid storage solutions

Struggling Canadian smartphone maker BlackBerry shouldn't expect any help from the government, a prominent cabinet minister has indicated.

Although he acknowledged that BlackBerry is having "a hard time" with its latest products, Canadian Minister of Industry James Moore told Bloomberg, "It's for them to engage the market and provide devices and services, platforms, content that the market will receive well."

Shares of Waterloo, Ontario–based BlackBerry have taken a beating in recent months on news that the one-time mobile messaging king's newest BlackBerry 10 OS and devices have sold below expectations.

In early August, rumors emerged that BlackBerry's board was considering a buyout plan that would take the company private, in addition to pondering other options, including joint ventures and partnerships.

If CEO Thorsten Heins & Co. were crossing their fingers that the Canadian government might step in with a US-style bailout, however, those hopes were all but dashed by the Industry Minister's comments on Wednesday.

"This is a Canadian company with a long track record of stirring up innovation and important changes in the products we all use. They employ a great number of Canadians," Moore, a member of Canada's Conservative Party, told Bloomberg. "It's been a source of Canadian pride and we hope that they do well."

Moore's predecessor as Industry Minister, Christian Paradis, echoed Moore's sentiments but similarly gave no indication that the government was inclined to come to BlackBerry's aid. "When you have a national champion like BlackBerry, you hope they remain a national champion," he told Bloomberg in March.

The one scenario in which the government would get involved would be if a foreign company offered to buy BlackBerry, in which case an automatic review process would kick in, for national security reasons. Chinese PC maker Lenovo has expressed some interest in acquiring the Canadian firm.

Barring that, however, the Minister of Industry seems inclined to let battered BlackBerry stand or fall on its own.

"I know that they're facing their challenges and they're adjusting their firm internally in the way that best suits their interests," Moore told Reuters. "And all I can say is, we wish them well, and we're keeping a close eye on the situation." ®

New hybrid storage solutions

More from The Register

next story
Phones 4u slips into administration after EE cuts ties with Brit mobe retailer
More than 5,500 jobs could be axed if rescue mission fails
Apple CEO Tim Cook: TV is TERRIBLE and stuck in the 1970s
The iKing thinks telly is far too fiddly and ugly – basically, iTunes
Apple Pay is a tidy payday for Apple with 0.15% cut, sources say
Cupertino slurps 15 cents from every $100 purchase
Huawei ditches new Windows Phone mobe plans, blames poor sales
Giganto mobe firm slams door shut on Microsoft. OH DEAR
Phones 4u website DIES as wounded mobe retailer struggles to stay above water
Founder blames 'ruthless network partners' for implosion
Forget silly privacy worries - help biometrics firms make MILLIONS
Beancounter reckons dabs-scanning tech is the next big moneypit
Microsoft's Office Delve wants work to be more like being on Facebook
Office Graph, social features for Office 365 going public
prev story

Whitepapers

Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.
Top 5 reasons to deploy VMware with Tegile
Data demand and the rise of virtualization is challenging IT teams to deliver storage performance, scalability and capacity that can keep up, while maximizing efficiency.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.