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2 min read 5 comments

BlackBerry Invested In A New Jet Despite Losses

It has been revealed that the ailing smartphone maker, BlackBerry, recently bought a 2006 Bombadier Global Express Jet which could easily have cost $29 million. The news comes after BlackBerry announced plans to lay off about 40% of its workforce and retreat from the consumer market where it used to be a major player.

BlackBerry Logo Mobile 2012
The company that used to be a major player in the smartphone industry is laying off 40% of its workforce / © jaredcompany

According to an article in the Wall Street Journal, BlackBerry recently acquired a 2006 Bombadier private jet that could easily have cost about $29 million to jet its executives to different places around the world. This has certainly come as a suprise to many, given that the company is set to post a loss of about $1 billion and is also set to retrench about 40% of its workforce, given the new landscape in the mobile handset industry.

BlackBerry has come under fire for this move but in an interview with the Wall Street Journal, a BlackBerry spokesperson said that the company is also looking to sell some of its existing aircraft in an effort to cut about 50% of its current operating costs.

There were also sounds last month of BlackBerry possibly selling, merging or privatizing given the current landscape of the smartphone market. A New York Times reporter recently mentioned that Apple sells as many iPhones in a week as BlackBerry sells every 3 months which is dismal for a company that used to dominate the smartphone arena not too long ago.

What do you think of BlackBerry's recent moves? Please leave us a comment below and we will get back to you.

Source: CNET


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  • Ed E. Sep 24, 2013 Link to comment

    He was on the board up until last year, he resigned so he could setup a consortium to buy all the stock and make it a private company and concentrate on its enterprise and business also there will be no more consumer BlackBerry's.......as for the jet the deal was done most likely way before they knew or dissided to release 40% of the work force.

  • Sold to the Canadian "Warren Buffet"- Prem Watsa of the Fairfax Financial Holdings for $4.7B. Turns out he's like the Chancellor of the university in BlackBerry's hometown and wants to keep as many jobs as possible. Pretty cool thing to do - and possibly visionary, keeping BlackBerry Canadian. Maybe he needs a cheap jet?

  • H.T Sep 24, 2013 Link to comment

    Os10 seemed good I can't help but wonder why people disliked it, so much that it sustained such a loss. :'(

  • word is they have agreed to go private tho.

  • H.T Sep 24, 2013 Link to comment

    BlackBerry should try to rebound once they are able to stabilise in consumer market...