It’s not going to be a very happy new year for people still using phones or tablets run on Blackberry’s (BB) - Get BlackBerry Limited Report phones. That would include BlackBerry 7.1 OS and earlier, BlackBerry 10 software, and BlackBerry PlayBook OS 2.1 and earlier versions.
Yes, even though the company has not been known for its devices for many years, some people still used them and, until January 4, they had been supported for calling, texting, and other features.
Blackberry issued a reminder that at that point, devices “running these legacy services and software through either carrier or Wi-Fi connections will no longer reliably function, including for data, phone calls, SMS and 9-1-1 functionality,” the company said. The company made it clear that devices running on that software “will no longer reliably function” as of Jan. 4.
Blackberry Focusing on Software
Blackberry reiterated its September 2020 explanation of the move. “Today BlackBerry is focused on providing intelligent security software and services to enterprises and governments around the world.”
The stock recently traded at $9.46, down 0.3%.
Is Blackberry a Buy?
Morningstar analyst William Kerwin has mixed views on BlackBerry.
“We’re maintaining our $7 fair value estimate for no-moat BlackBerry after the firm reported fiscal third-quarter earnings modestly above our expectations, and guided for fiscal fourth-quarter results modestly below our prior forecast,” he wrote last week.
“We’re pleased to see steady sequential growth for BlackBerry’s software and services sales through fiscal 2022 thus far.
“But we view cybersecurity and Internet of Things revenue trending below the firm’s initial fiscal year guidance as disappointing….
“We still expect robust growth from BlackBerry’s QNX auto sales, and view continued design win acceleration as positive in the long term. [But] even after a small pullback following the release, we continue to view shares as overvalued.”