Struggling Canadian smartphone maker BlackBerry is starting to consider what many people have been saying for a while now: concentrate on being a software business instead trying to make hardware. BlackBerry is reportedly thinking about spinning off its coveted messaging service Blackberry Messenger (BBM) into its own separate company. According to techcrunch.com:
“In a move that should surprise exactly no one, Blackberry is said to be thinking about spinning off BBM into its own subsidiary company called BBM Inc., says the Wall Street Journal. As BlackBerry faces the prospect of potentially having to part out its more valuable assets for sale, BBM is a natural opportunity that comes to mind, and the recent decision to take the messaging platform to both iOS and Android makes a lot more sense once you consider that a means of fluffing the brand prior to a potential sale.”
This may be the right move for BlackBerry, but as is often the case, it may be too late. Although BBM has 60 million users, people are continuing to leave them—quickly adapting to other services like WhatsApp, Kik and even Apple’s iMessage to make up for those needs. This isn’t great news.
The only possible upside to BBM being a separate company is that by itself, it may be an acquisition target for a company like Microsoft. Otherwise it’s more ‘too little, too late’ again for BlackBerry.
