Late yesterday, news broke that Samsung was in talks to buy BlackBerry for $7.5 billion dollars according to Reuters which cited an unnamed source familiar with the matter. This caused the stock to spike by almost 30%. Now BlackBerry smashed this rumor pretty quickly via a press release that denied the story, and the stock fell in after hours trading.
Here’s the deal. If Samsung was interested in BlackBerry, it would be for the patents and for BlackBerry Enterprise Server. The handset business is irrelevant to them. This would help them fight Apple and set itself apart from every other Android smartphone vendor. However, $7.5 billion I would think is too low of a value for John Chen to settle for. He’s implied that in numerous media interviews. So if you want my opinion, it is possible that there were talks. And it is possible that there might still be talks, but the purchase price is the sticking point.
We’ll have to see how this plays out. But I suspect we’ll be hearing from these two again.
Related
This entry was posted on January 15, 2015 at 7:17 am and is filed under Commentary with tags BlackBerry, Samsung. You can follow any responses to this entry through the RSS 2.0 feed.
You can leave a response, or trackback from your own site.
Samsung To Buy BlackBerry? Not So Fast.
Late yesterday, news broke that Samsung was in talks to buy BlackBerry for $7.5 billion dollars according to Reuters which cited an unnamed source familiar with the matter. This caused the stock to spike by almost 30%. Now BlackBerry smashed this rumor pretty quickly via a press release that denied the story, and the stock fell in after hours trading.
Here’s the deal. If Samsung was interested in BlackBerry, it would be for the patents and for BlackBerry Enterprise Server. The handset business is irrelevant to them. This would help them fight Apple and set itself apart from every other Android smartphone vendor. However, $7.5 billion I would think is too low of a value for John Chen to settle for. He’s implied that in numerous media interviews. So if you want my opinion, it is possible that there were talks. And it is possible that there might still be talks, but the purchase price is the sticking point.
We’ll have to see how this plays out. But I suspect we’ll be hearing from these two again.
Share this:
Like this:
Related
This entry was posted on January 15, 2015 at 7:17 am and is filed under Commentary with tags BlackBerry, Samsung. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.