Unusual as it may sound, BlackBerry Ltd (NASDAQ:BBRY) is likely one of the companies to benefit if the Internet of Things continues to grow, Paul Kedrosky said in a discussion with Angie Lau on Bloomberg’s First Up.
The comment about BlackBerry Ltd (NASDAQ:BBRY) comes from the Bloomberg contributing editor as the Consumer Electronics Show (CES) in Las Vegas wraps up.
BlackBerry Ltd (NASDAQ:BBRY), the smartphones and tablets maker currently in a turnaround, has a division concerned with QNX, a software platform that runs on embedded systems like those found in purpose-made machines like cars.
According to Kedrosky, the Internet of Things emerged as one of the main themes at CES. It’s the idea that sometime in the not so distant future, almost everything in the home so long as they are plugged in will have processors and a connection to a network that enables these machines to communicate.
For example, Kedrosky said that there was a connected thermometer shown at CES that allows parents to continually monitor their child’s temperature even without them being physically present. Another example would be refrigerators or air conditioning units that can be controlled via smartphones even if their owners are not home.
As the Internet of Things grows, BlackBerry Ltd (NASDAQ:BBRY) stands to benefit because QNX is one of those software that enable embedded systems to work. More embedded systems means more potential QNX-powered machines. The more QNX-powered machines there are, the more the Canadian company stands to be paid in licensing fees.
In fact, Kedrosky noted that one of the more mature industries when it comes to the Internet of Things is the auto industry. Notably, BlackBerry recently ousted Microsoft Corporation (NASDAQ:MSFT) as the company supplying the software for Ford Motor Company (NYSE:F) cars.
Nelson Obus’ Wynnefield Capital increased its stake in BlackBerry Ltd (NASDAQ:BBRY) by 38% in the third quarter of 2014 to 2.07 million shares.