Do you know anyone who recently bought a BlackBerry?
New owners of the beleaguered smartphone brand are becoming extremely rare as the company reported a loss of $4.4 billion last quarter — and blamed absurdly low sales of its latest models.
But the company, which has been forced to lay off thousands of workers and has seen a conga line of executives leave as its market share moved from sector dominant to low single digits, said a new production plan could erase the red ink in two years.
Interim CEO John Chen announced Friday it has started outsourcing the manufacturing of its handsets to China's Foxconn Technology Group — the same company that makes Apple's iPhones.
The first of the Foxconn models could hit store shelves in the US next year.
Despite the mammoth loss in the fiscal third quarter, investors jumped with joy at the Foxconn news and bid BlackBerry shares up 15.5 percent, to $7.22 a share.
It was almost enough to make shareholders forget the company failed to sell itself in November and saw sales drop to 1.9 million units in the quarter from 3.7 million units last year.
BlackBerry's attempt earlier this year to launch a touch-screen phone without the company's famous keyboard has been a flop.
The company wrote down $1 billion in inventory on the new phone in September.
Not surprisingly, Chen wanted to focus on the Foxconn deal.
The outsourcing of handsets removes Blackberry's "biggest chokehold in the last two or three years," said Chen, referring to the company's recent difficulties managing its inventory.
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