Is Blackberry Going Android?

BlackBerry Ltd , which has been tight-lipped about its plans to make a mainstream Android smartphone, fueled more speculation about its plans this week when it scooped up two Android-related domain names.

Several blog posts in the last two days have noted that the Canadian handset maker bought the domain names “AndroidSecured.com” and “AndroidSecured.net” this week. That spurred more chatter that it intends to build a device powered by Google Inc’s  Android platform, which powers the vast majority of smartphones sold across the globe.

The purchase of the domain names is particularly interesting since BlackBerry Chief Executive John Chen has declined to confirm a June Reuters report that said the company was planning an Android phone.

Speculation that BlackBerry will embrace Android was also spurred this week by a Digitimes report that said the company plans to roll out several models of Android-based phones.

In the past three weeks, however, Chen has said at least twice that he would only build an Android phone if he can “secure Android”.

BlackBerry downplayed the significance of its domain name purchases in an email on Friday, saying: “BlackBerry frequently registers domain names to support the breadth of our cross-platform portfolio. Android is an important part of our cross-platform enterprise software strategy.”

Indeed, one of the domains, “AndroidSecured.com”, currently redirects users to a BlackBerry enterprise-focused site.

But that has not stopped a barrage of chatter on tech blogs about the purchases being part of BlackBerry’s plan to build its own secure Android, going beyond supporting existing Android phones on its BES12 device-management system. BES12 allows corporate and government clients to secure Android-, iOS-, Windows- and BlackBerry-powered devices on their networks.

Under the leadership of Chen, the Waterloo, Ontario-based company has been pivoting toward software and device management as its recent devices, powered by its BlackBerry 10 software, have failed to win mass appeal. Analysts and tech gurus believe a move to Android could give BlackBerry’s device arm a new lease on life.

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Will Blackberry Embrace Android?

BlackBerry Ltd’s move to embrace Android, although geared towards lifting revenue from its software and device management segment, could inadvertently give its device arm a new lease on life.

“From the standpoint of marketing, this is a great way for BlackBerry to get visibility. It really doesn’t hurt them much, and the upside is high,” said Rob Enderle, who runs technology consulting firm Enderle Group.

Enderle and other financial and tech analysts agree that the move by BlackBerry does present its own set of challenges as the company would have to support two platforms and potentially put some resources into marketing an Android device, but with little to lose most agree it comes with little downside.

“If Android has one significant weakness it is security and that’s just the thing that BlackBerry can fix, so it could play out pretty well and I am actually quite surprised that they did not try this sooner,” said Enderle, adding that BlackBerry has to deliver a compelling device in order for the gambit to work.

Reuters reported last week that BlackBerry was considering a move to test run Android on its upcoming slider device, as part of a bid to convince potential corporate and government clients that its device management system, BES12, is truly able of manage and secure not just BlackBerry devices, but also devices powered by Google’s Android, Apple’s iOS and Microsoft’s Windows operating system.

“In order for BES12 to succeed it has to be viewed by all as platform agnostic, and what better way to demonstrate that other than by doing it yourself,” said Ramon Llamas, an analyst with technology research firm IDC.

BlackBerry, which once dominated the smartphone market, has seen its market share drop to under 1 percent, as the iPhone and a slew of Android devices from Samsung have captured market share. John Chen, a turnaround expert brought in to fix its slide, is now pivoting BlackBerry to focus more on its well-regarded software and device management business.

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Can Android AT Work Entice The Enterprise?

Google Inc rolled out an initiative  to make smartphones running its Android software more appealing to corporations, a move that could help extend the Internet technology giant reach into workplaces.

Google said on its official blog that its Android for Work program will provide improved security and management features for corporations that want to give their employees Android smartphones. Smartphones supported by the new initiative will be able to keep an employee’s work and personal apps separate, and a special Android for Work app will allow businesses to oversee key tools such as email, calendar and contacts.

Google said it is partnering with more than two dozen companies including Blackberry Ltd, Citrix Systems Inc, Box Inc.

Google’s Android software is the world’s most popular mobile operating system, but many corporations, which have significant security and device management requirements, give their employees smartphones made by Blackberry or Apple Inc.

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Blackberry Loss Shrinks

BlackBerry Ltd reported a smaller quarterly loss on Friday and is showing encouraging signals about its endangered smartphone business as well as its software and services sales, spurring a more than 4 percent jump in its shares.

The Canadian company, a smartphone pioneer pushed to the margins by Apple’s iPhone and devices running Google’s Android software, is now focusing more on software and services than on hardware as it works through a long turnaround.

On the services front, the company reported a huge number of conversions in its second quarter to its heavily promoted new device management platform. But BlackBerry’s hardware unit also offered hopeful news, posting an adjusted profit for the first time in five quarters, helped by lower manufacturing costs and strong demand for its low-end Z3 handsets in emerging markets.

“This is the first time in a long time that we have actually made money on hardware,” Chief Executive John Chen told reporters, while hinting at plans to unveil new phones at Mobile World Congress in Barcelona in 2015. “We think we can continue on that track, so hardware is no longer going to be a drag to the margin and the earnings.”

The Waterloo, Ontario-based company’s revenue in North America rose from the previous quarter, but sales slipped elsewhere. Its total revenue was down more than 40 percent from a year earlier.

“They’re taking all the right steps, which is great. It’s encouraging to see,” said BGC Partners analyst Colin Gillis. “Now we’ve got to see what Chen can do about the revenue decline.”

BlackBerry shares were up 5.2 percent at C$11.45 on the Toronto Stock Exchange and up 4.6 percent at $10.26 on Nasdaq.

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Dell Buys Quest Software

Dell is set to buy Quest software for $2.5 billion. The move trumps the bid by Insight Venture Partners and was done on the quiet.

The No. 2 U.S. personal computer maker kept its name out of the limelight when Quest disclosed on Thursday that it had received an offer from a “strategic bidder” of $25.50 per share. Quest’s shares rose more than 9 percent to finish at $26.06 on Thursday.

Dell has been actively buying companies to expand its offerings to business and diversify away from personal computers. It told investors its focus on the hardware and software needs of corporate customers was gaining momentum. Quest could help Dell’s businesses in data management and protection and Windows server management.

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RIM Goes Non-BlackBerry

Research In Motion on Tuesday launched software that will allow its large “enterprise” customers to manage Apple and other rival devices through the same servers as they use for the BlackBerry smartphone and Playbook tablet.

The new Mobile Fusion software, first announced in November, is an acknowledgement of sorts by RIM of a growing preference by many users inside big corporations and government to access professional communications over their personal devices, often the Apple iPhone or iPad, or devices running Google’s Android.

RIM, which long dominated the so-called enterprise market, has watched the BlackBerry’s market share steadily erode in recent years. Unable to arrest the trend, the company now aims to generate a fresh revenue stream from it. Mobile Fusion will cost $99 per user to license and $4 per user a month, with discounts available for bulk orders.

In a second announcement on Tuesday that highlights RIM’s eroding market position, it said its PlayBook tablet now boasts 15,000 applications – still just a tiny fraction of the number available on the iPad. One of the biggest complaints about RIM’s products is the dearth of content and applications.

A recent survey from Appcelerator and IDC showed less than 16 percent of developers were “very interested” in creating programs for RIM, compared with 90 percent for Apple and 80 percent for Android.

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