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The obstacles are daunting, though. For one, the user experience with content and traditional Blackberry services like email may not please hard core Blackberry consumers: Blackberry 10 sends data and email to the mobile operator network, rather than through Blackberry’s servers. This can have huge business implications for Blackberry—the company may forgo the fee it charged to operators in the past for the use of its vaunted, secure network. And Blackberry’s app environment trails those of Apple and Android by a big margin. Its current app environment requires developers to build apps from scratch for the new Blackberry operating system—a real cost consideration for many companies who would prioritize building apps for Apple, Android, and perhaps even the Windows Phone 8 environment first. Blackberry definitely cannot afford to give up on content, either, so the app environment supporting its new devices will remain a priority. Over the last few years, it’s been estimated that the company dismissed as many as 7,000 employees. But some say Blackberry’s teams working to develop apps have been untouched and currently remain intact with plans to grow. And more broadly, Blackberry does have some elements working in its favor: the company has a large cash reserve (roughly $3 Billion), it is debt-free, its enterprise network is strong and valuable; and the company sits on patents that some estimates value as much as several billion dollars. Coming months should tell how Blackberry weaves these assets together, or breaks them apart. Either way, it needs to answer the considerable challenges in front of it. For now, we’re not jumping to count them out. W D M R 'LVWULEXWRUDQG:KROHVDOHURI 1HZ5HIXUELVKHG*60 &'0$3KRQHV6HUYLFLQJ86$ 6RXWK$PHULFD&HQWUDO$PHULFD &LWLSODFH&RXUW6WH %DWRQ5RXJH/D70808…225 www.RoyalComm.net 97


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