Why exactly does the Techonomy Founder and CEO believe that BlackBerry Ltd (NASDAQ:BBRY) can still make it? It’s a combination of the leadership the Canadian company has and its recent move that inspires confidence in this expert.
According to Kirkpatrick, BlackBerry Ltd (NASDAQ:BBRY)’s John Chen is someone “really admires”. He also said that while people may only focus on the mobile hardware side of the business, the company actually has “a great services business which is huge.” Kirkpatrick said that services is a “lucrative” field although it admittedly just isn’t that “sexy” an industry to be in.
This is opposite of what investor Gary Vaynerchuk thinks. In a recent interview, Vaynerchuk said that he expects BlackBerry to go the way of the dinosaurs.
“Their hardware business is increasingly not where they’re putting their emphasis on and that’s still the way we view them historically. By the way, BlackBerry, not only do they have security, not only are they putting out devices that people like now, but they also just kicked Microsoft out of the software for Ford cars,” Kirkpatrick said.
He noted that BlackBerry Ltd (NASDAQ:BBRY)’s QNX, a software platform that’s popular in the embedded systems space such as systems deployed by car makers for their vehicles, is “very successful”.
Ford Motor Company (NYSE:F) recently chose to replace Microsoft Corporation (NASDAQ:MSFT)’s Windows Embedded with QNX for its SYNC in-car system.
Because of the security, services and embedded systems side of the business, Kirkpatrick thinks that “there’s a lot of hidden value in BlackBerry”.
This is in line with observations made by DN Capital’s Peter Misek last month who said that BlackBerry may actually triple software sales next year. Considering these comments, BlackBerry suddenly seems it’s not as useless or hopeless as some may think.
Nelson Obus’ Wynnefield Capital owned 2.07 million BlackBerry Ltd (NASDAQ:BBRY) shares by the end of the third quarter.