N. Venkatraman on Why BlackBerry Could Rebound

in Faculty, Information Systems, News
June 25th, 2012

Professor Venkatraman

N.Venkatraman, the David J. McGrath, Jr. Professor in Management

For their blog Boston Daily, Boston Magazine interviewed the School of Management’s N. Venkatraman of the Information Systems department about the five reasons you may still want to hold onto your BlackBerry. They write:

Research in Motion Lmtd. (RIM), the creator of the BlackBerry, has been making headlines with its plummet from its former place of preeminence in the smartphone market. Once the reigning king of cell phone mobile device stores nationwide, the one-app wonder that captured our hearts (and souls) with the BlackBerry Messenger app has been edged out by competitors Apple and Android. The firm’s share of the U.S. smartphone market has plunged from 43 percent two years ago to just over 12 percent, according to reports from market research firm ComScore Inc.

“It would be foolish to predict the demise of any company,” Venkatraman said. “Apple and IBM have been famously declared dead by many pundits who now are wondering about their predictions.”

Last month, RIM announced that it had brought in analysts from J.P. Morgan Securities and RBC Capital Markets to review their financial performance and develop “strategic business model alternatives.” As speculation continues to grow regarding the fate—and possible demise—of the BlackBerry, we spoke with Venkat N. Venkatraman, the David J. McGrath, Jr. Professor in the information systems department at Boston University’s School of Management.

His take? There may still be some battery life left in your BlackBerry.

Venkatraman’s list of reasons for why the BlackBerry could make a rebound includes:

  1. It’s not the first time speculators have (incorrectly) labeled a struggling tech company as a sinking ship.
  2. RIM hasn’t given up the good fight.
  3. There’s room for one more at the top of the smartphone pyramid.
  4. The firm, and ultimately, BlackBerry, may yet still be able to pull itself up by its bootstraps.
  5. A buyout could keep the BlackBerry afloat, too.

See the reasons Venkatraman gives behind each point on his list at the Boston Daily blog post “Your Blackberry Isn’t Dead (Yet).”