BlackBerry and T-Mobile Call It Quits

As the famous song would have us all believe, "Breaking up is hard to do." And while that might have held true for your high school sweetheart, it certainly wasn't the case for tech and telecom players BlackBerry (NASDAQ: BBRY  ) and T-Mobile (NYSE: TMUS  ) ; they unceremoniously severed business ties last week after months of bad blood and bad press had torn the two apart.

So now, in the wake of this front page split, the question remains whether this will affect either BlackBerry's or T-Mobile's business going forward.

Source: BlackBerry

Never ever getting back together
In sizing up the significance of the breakup between BlackBerry and T-Mobile, it's probably safe to say that neither BlackBerry nor T-Mobile will miss the other all too much, which bodes well for shareholders in either company.

For BlackBerry, its recent efforts have largely focused on decoupling and then scaling its software from its dying handset business under new CEO John Chen. In T-Mobile's case, BlackBerry handsets haven't been exactly flying off the shelves, as we saw, once again, during BlackBerry's recent quarterly report.

In the video below, tech and telecom analyst Andrew Tonner looks at this storyline in greater detail, and explains why neither BlackBerry nor T-Mobile shareholders have much to worry about with this high profile parting of ways.

Are you ready to profit from this $14.4 trillion revolution?
Let's face it, every investor wants to get in on revolutionary ideas before they hit it big. Like buying PC-maker Dell in the late 1980s, before the consumer computing boom. Or purchasing stock in e-commerce pioneer Amazon.com in the late 1990s, when it was nothing more than an upstart online bookstore. The problem is, most investors don't understand the key to investing in hyper-growth markets. The real trick is to find a small-cap "pure-play," and then watch as it grows in EXPLOSIVE lockstep with its industry. Our expert team of equity analysts has identified one stock that's poised to produce rocket-ship returns with the next $14.4 TRILLION industry. Click here to get the full story in this eye-opening report.


Read/Post Comments (1) | Recommend This Article (1)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On April 11, 2014, at 11:32 AM, cbglobal wrote:

    Just to bring you up to speed on reality; T-Mobile is changing its business model into a BYOD shop (bring your own device). So anyone, anywhere can buy a Blackberry phone from anyplace, and as long as it will run on T-Mobile's network (same at ATT), they can and will continue to be able to use a Blackberry on T-Mobile.

    Secondly, being a BYOD business, means T-Mobile will not be supporting any company's model phone in the future. But for now, they need to sell all those iPhone they contracted to purchase and sell.

Add your comment.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2911396, ~/Articles/ArticleHandler.aspx, 10/26/2014 4:33:55 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement