BlackBerry announces 4,500 layoffs, Q2 losses near $1 billion

BlackBerry announces 4,500 layoffs, Q2 losses near $1 billion

The Canadian smartphone maker's financial tumbles have been well-documented, with some thinking this is the beginning of the end.

On Friday, Canadian smartphone maker BlackBerry announced it is cutting 4,500 jobs, and announced second quarter net operating losses between $950 and $995 million.

The company, based in Waterloo, Ont., said it sold 3.7 million smartphones over the quarter, with revenues totalling $1.6 billion.

Just months ago, BlackBerry unveiled two new smartphones, the Q10 and the Z10, which were designed to combat the increasingly competitive smartphone market – now dominated by Samsung and Apple – while maintaing the business-friendly design that had made the company such a desired product in its better days. According to BlackBerry’s own numbers, the company had 72,000,000 active global subscribers, which is a slight drop-off from 79,000,000 in December, 2012.

With the announcement, BlackBerry shares fell 16 per cent to $9.08 on the Toronto Stock Exchange, and the company’s delayed but continued financial free falls has caused some to believe today’s news leans toward a ticking time bomb, not a step in the right direction.

“Who would want to throw good money after bad?” said Reuters’s Felix Salmon, in an interview on CBC. “There’s a breakup value to the company, but as a going concern, I believe this is the beginning of the end of people walking around with BlackBerrys in their pocket.”

————————————————————

Coverage of BlackBerry’s job cuts and stock tumble from around the Interweb:

“Twitter reacts to 4,500 BlackBerry layoffs” – Trevor Melanson, Canadian Business

“BlackBerry confirms massive layoffs” – Chris Velazco, TechCrunch

“BlackBerry to retreat from consumer market” – Aaron Souppoulis, The Verge

CBC:

Surrey North Delta Leader

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Outside Surrey council chambers. (File photo)
A third Surrey councillor says she’ll be donating her pay raise to charity

Jack Hundial, Steven Pettigrew and Linda Annis say they’ll give their increase to charity after council voted itself a pay hike in a meeting closed to the public

A barrel racer is seen at the Cloverdale Rodeo. (Photo courtesy Cloverdale Rodeo)
Cloverdale Rodeo Country Fair postponed until later in 2021

Rodeo president say both public safety related to the pandemic and the removal of border restrictions will determine new date

File image
OUR VIEW: Surrey council pay raise in secret not a good look

As they say, in politics perception is everything

An eight-week Anti-Racism Circle program will be hosted by Alexandra Neighbourhood House in April. (Contributed image)
Alexandra House to host eight-week anti-racism workshop

Program, conducted via Zoom, begins in April

The 8800-block of 140B Street in Surrey, a block northeast of Bear Creek Park. (Google Maps)
Surrey RCMP investigate late-night shooting

Police say officers were called for reports of gunshots heard in the 8800-block of 140B Street

RCMP. (Phil McLachlan - Capital News)
1 dead, 2 injured in potentially alcohol-fueled collision in North Vancouver

The collision occurred just after 11 p.m. on March 2 on Low Level Road

COVID-19 vaccines were available at a site on East Pender in Vancouver’s Downtown Eastside Feb. 25. (Twitter/Sarahblyth17)
Vancouver’s Downtown Eastside residents offered $5 after getting COVID-19 vaccine

It’s an effort to ‘incentivize people to engage,’ says B.C. Health Minister Adrian Dix

</p>
A survey by Statistics Canada finds Black Canadians earn less than non-visible minority Canadians despite having higher levels of education. (The Canadian Press file photo)
COVID-19 worsened unemployment picture for Black Canadians

Black Canadians also more likely to suffer other hardships

(Black Press Media files)
B.C. teacher transferred then suspended after students report feeling ‘scared, nervous’

Authorities found that teacher did not create inviting, respectful environment for students

Victoria’s Swartz Bay terminal. (Black Press Media file photo)
BC Ferries offers cheaper, prepaid fare options

Ferry service preparing for busy terminals when travel restrictions are lifted

FILE - Dolly Parton arrives at the 61st annual Grammy Awards on Feb. 10, 2019, in Los Angeles. The Grammy-winning singer, actor and humanitarian posted a video on Tuesday, March 2, 2021, of her singing just before getting her COVID-19 vaccine shot. Parton donated $1 million to Vanderbilt University Medical Center in Nashville, Tennessee for coronavirus research. (Photo by Jordan Strauss/Invision/AP, File)
‘Vaccine, vaccine’: Dolly sings ‘Jolene’ rewrite before shot

The Grammy-winning legend turned 75 this year

Deputy Prime Minister and Minister of Finance Chrystia Freeland speaks about the Fiscal update during a news conference in Ottawa, Monday November 30, 2020. THE CANADIAN PRESS/Adrian Wyld
COVID-19: Wage and rent subsidies, lockdown support to be extended until June

Chrystia Freeland says now is not time to lower levels of support

The area on Cordova Bay Road where ancestral human remains were discovered Feb. 22. (Submitted photo)
Human remains discovery a reminder of B.C. Indigenous culture dug up and displaced

‘These are the people who inspired and birthed the generations that we now have here’

Most Read