Too little, too late: BlackBerry's consumer retreat will only hasten demise, warn analysts

Will shake confidence in firm

Too little, too late: BlackBerry's consumer retreat will only hasten demise, warn analysts
BlackBerry should never have attempted to take on Apple and Samsung in the consumer market, and it's decision to shift back to a focus on enterprise now will only hasten the company's demise.

That's the take of numerous industry commentators and financial analysts questioned by Reuters, with most advising that BlackBerry's retreat from the consumer market – and the culling of 4,500 staff – will shake wider confidence in the company, and cause many of its clients to abandon it.

"I don't understood why they thought they ought to be pursuing the consumer at all, given the fact that Apple and Samsung really had the strength in that area," summarised MacNicol & Associates portfolio, reflecting the view of most asked by Reuters.

Dangerous times

However, while all suggest BlackBerry's assault on consumers – BlackBerry 10 heavily focused on apps and games – was misguided, the attitude appears to be that it's too late to retreat now.

By admitting defeat in one sector, BlackBerry has undermined its operations in all others.

"Many carriers will now pull much if not all of the BlackBerrys from the shelves because shelf space is valuable and coveted," added a former senior BlackBerry executive quoted anonymously by the agency.

"There are many other handset vendors who would eagerly invest a lot to displace BlackBerry."

Speculation suggests, however, that BlackBerry's move to refine its business – pulling away from targeting consumers and cutting back on the number of handsets it offers – is attempt to make the company a more attractive acquisition, though there's no word on whether any potential buyers have come forward.

Reports have previously suggested Chinese manufacturer Lenovo is the most likely buyer, with chief executive Yang Yuanqing having claimed his company would grasp the opportunity to consolidate if it presented itself.

[source: Reuters]

With a fine eye for detail, Keith Andrew is fuelled by strong coffee, Kylie Minogue and the shapely curve of a san serif font.