0708blackberry.jpg

BlackBerry Ltd sales sagging as Apple Inc’s iPhone keeps gaining momentum

A BlackBerry Ltd. Leap smartphone. Canaccord's wireless surveys indicate soft smartphone sales for BlackBerry globally, despite somewhat steadier results for its Classic device. However, this positive is being offset by weakening Passport and legacy BB10 smartphone sales and mixed initial results for the Leap smartphone.

BlackBerry Ltd. appears to be having more difficulty selling its smartphones to end-customers, prompting a decrease in both hardware unit and revenue estimates for 2016 by Canaccord Genuity.

Canaccord’s wireless surveys indicate soft smartphone sales for BlackBerry globally, despite somewhat steadier results for its Classic device. However, this positive has been offset by weakening Passport and legacy BB10 smartphone sales and mixed initial recent results for the new Leap smartphone.

In accessory for trimming his second-quarter estimates, Canaccord analyst T. Michael Walkley noted that since BlackBerry’s next-generation smartphone portfolio is scheduled for release after calendar 2015, he expects more of fiscal 2016 hardware sales will be driven by the existing portfolio, “which faces gradually diminishing consumer interest.”

Related