What is the BlackBerry agreement with Foxconn? - Money.pl

2013-12-24 13:12

Author: Peter Barycki

signed a few days ago, having valid for five years, the agreement between the BlackBerry and Foxconn, there is something too often seen on the market. Yes, the Taiwanese company has already formed smartphones include for Apple, but in the case of BlackBerry, everything looks a bit different. How and what will have an impact on customers, ie us?

basic question – what Canadians in general cooperation with Foxconn, since they already have worldwide partners responsible for the theory is the same, it is very easy to answer. Over the past several months, BlackBerry has proved that it is not able to adequately quickly bring to market low-cost smartphones, respectively, which have fought not for profit, but about market share. Top confirms this fact canceled two models that would just fall into this category – models on the market that have hit almost exactly a year after the release of the first phone with the new system. Late, very late, and who knows if there would still rather expensive (just look at the Q5). Reasons for such state of affairs could probably find a few, but the conclusion is one – BlackBerry is not able to create a low cost model, which could be without loss sell for pennies.

solution is therefore quite simple – move the production of low-cost models to a company that is able to do this and here is where the Foxconn. Foxconn, which is already a little tired of being merely the executor of finished projects, and wants to climb up on the rung above – not only consist of ordered products, but also design them to assemble the necessary components, and then deliver where it should be. Not only does the higher will be the company’s position in the market, it still profits from such activities will be much larger than the current model.

Taiwanese, though under the watchful eye of the BlackBerry, are so designed, completed and submitted cheap “Canadian” smart phones, intended for markets in Asia, and probably having to compete there with the other cheap brands that whether in China or in India, gaining huge popularity even despite the fact that many of us in Europe have never even heard of such companies. As a huge manufacturer, Foxconn is able to order parts at much lower prices than BB, which was confirmed as CEO of the Canadian company directly. And that’s what counts in the production of lower priced phones – as the greatest savings on each item. If one of us dreamed of wylicencjonowaniu BlackBerry 10, it can be said that in some sense something just happened, the phone will continue to have the BlackBerry logo.

BlackBerry gains from such a partnership are also fairly obvious – lower production costs, lower development costs, greater chance of creating an appropriate amount of phone quickly with appropriate parameters, and above all – much less likely to fail in a further multibillion-dollar losses from unsold equipment. Foxconn is in fact able to properly scale production (as if there were – their) smartphones, answering as smoothly on demand.

Is models manufactured by Foxconn will go ever to Polish? It is difficult at the moment to say, the more that is not known yet whether he would like to make with summer in our stores. There is no doubt that at least the first (“Jakarta”), or the first, will be targeting the really low-end price. Given the sharp fall in prices so far, it’s not such a bad model, Q5, Q10 or Z10 may seem for those few months still attractive purchase. What will be next? That just does not know anyone, and if you know, it is rather not share this information yet.

It should be remembered that the decision BlackBerry is not in any case, proof of “strength” of the company – it is rather a confirmation of weakness and a situation where part of the production need to give to others, giving up most of the profits to be able to compete at all in this segment. The only question is whether or not what this is about – an attempt to flood the market with cheap models of BlackBerry 10 makes your losses before the next and see whether it is something else to ponder. Exit the most reasonable, but rather a player with a weak position.

Much more interesting will be, however, is what the BlackBerry along with the rest of other manufacturing partners will design and produce yourself. While the models Foxconn will probably be standard devices with large touch-screen (and maybe a keyboard), it is planned for the next year a series of high-end – O and W, have a chance to do at least a little confusion in the market. More information about them probably will be announced soon, but for now we are left waiting patiently i .. pleasant way to spend Christmas!
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