Feeds

BlackBerry binned JV plan to become China's official mobile OS: report

Managers pondered deal for two years without reaching a decision

High performance access to file storage

Struggling BlackBerry launched a bold bid back in 2010 to corner the Chinese smartphone market through a joint venture, but despite significant interest from Beijing internal feuding in the company ended up scuppering a deal, it is claimed.

In summer 2010, Research In Motion chairwoman Barbara Stymiest and then co-CEO Jim Balsillie took their plan to the state-run China Investment Corp (CIC), according to a report in Canada’s Globe and Mail referencing “people familiar with the discussions”.

A new firm – formed by RIM, CIC and other unnamed domestic handset players – would have sold new handsets licensed to run on RIM’s “core software”, the report claimed.

The deal would apparently have rubber stamped RIM as the official supplier of smartphone operating systems in the world’s biggest market for devices, but despite Balsillie’s enthusiasm and strong interest from Beijing, nothing came of it.

Co-CEO Mike Laziridis and other directors were apparently concerned that a possible China deal would distract the firm from the launch of its BlackBerry 10 device.

The plan is said to have been discussed internally at RIM for two years before it was finally binned after new CEO Thorsten Heins took the reins.

Ironically the launch of the firm’s iPhone-killer, the BlackBerry 10, is now widely regarded as one of the most disastrous in smartphone history.

BlackBerry's second quarter earnings a fortnight ago put expected quarterly revenues at $1.6bn, less than half the $3.06bn analysts were expecting thanks in part to the poorly performing handset.

The firm has now agreed to be taken private by a consortium led by Toronto-based Fairfax Financial Holdings in a deal worth around $4.7bn – a huge drop from the $70bn+ it was once valued at.

Meanwhile, in China domestic handset makers vie with Apple and Samsung for a larger slice of a smartphone market dominated by Google Android. ®

Combat fraud and increase customer satisfaction

More from The Register

next story
Leaked pics show EMBIGGENED iPhone 6 screen
Fat-fingered fanbois rejoice over Chinternet snaps
Reg man builds smart home rig, gains SUPREME CONTROL of DOMAIN – Pics
LightwaveRF and Arduino: Bright ideas for dim DIYers
WTF happened to Pac-Man?
In his thirties and still afraid of ghosts
Rounded corners? Pah! Amazon's '3D phone has eye-tracking tech'
Now THAT'S what we call a proper new feature
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
US mobile firms cave on kill switch, agree to install anti-theft code
Slow and kludgy rollout will protect corporate profits
Happy 25th birthday, Game Boy!
Monochrome handset ushered in modern mobile gaming era
Leaked photos may indicate slimmer next-generation iPad
Will iPad Air evolve into iPad Helium?
True optical zoom coming to HTC smartphone cameras
Time to ditch that heavy DSLR? Maybe in a year, year and a half
prev story

Whitepapers

Mainstay ROI - Does application security pay?
In this whitepaper learn how you and your enterprise might benefit from better software security.
Combat fraud and increase customer satisfaction
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Top three mobile application threats
Learn about three of the top mobile application security threats facing businesses today and recommendations on how to mitigate the risk.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.