Many pundits expected today's results to be an early indicator of how well the new BB10 models and OS will fare, but it is still early and we will not likely know how well the company is doing for at least a couple of quarters. That said the early signs seem to be encouraging: 19 cents a share versus a loss of 24 cents a year ago; 1 million new BB10 phones sold (roughly 100,000 above most consensus estimates) and a solid number of older handsets sold with good service revenue generation during the transition to the new models. One thing that BlackBerry has got right this time is its ecosystem. The company recently surpassed 100,000 apps, which is proving to be a pretty fast ramp-up. It has spent many resources in this area, hiring folks such as Alec Saunders (VP, Developer Relations) to get closer to the developer community and encourage programmers to write BB10 applications or at least to port them over from the Android OS.
Furthermore, the number, while impressive, still only represents one tenth of iOS and Android apps. Another question is performance. The ported apps might not quite always perform as fast on the BB10 as on Android due to processing being done by the BlackBerry Android Runtime virtual machine. The Q4 2013 call also did not provide too many clues about BlackBerry's performance in the U.S., where early surveys pointed to an initially underwhelming performance. In order for the company to do well with its BB10 models, it certainly needs better traction in the US, particularly where it is competing for shelf space at Best Buy ( BBY) and AT&T ( T), T-Mobile and Verizon ( VZ) stores. Early indicators showed lukewarm enthusiasm from sales personnel and buyers in the first two post-launch days. BlackBerry will be fiercely competing for mindshare against Nokia ( NOK)/ Microsoft ( MSFT) as these U.S. carriers certainly would like to seed a viable third OS option besides Android and iOS.