[SIZE=6]BlackBerry stops designing its own phones[/SIZE]
By Chris FoxxTechnology reporter
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[li]28 September 2016 [/li][li]Technology[/li][/ul]
[I]https://cdn.ampproject.org/i/ichef.bbci.co.uk/news/976/cpsprodpb/3836/production/_91409341_blackberry_priv.jpg
Image captionThe BlackBerry Priv was its final smartphone designed in-house
BlackBerry is to stop designing smartphones in-house after 14 years, the company has announced.
Once a market leader, the company has struggled to keep pace with modern handsets produced by rivals such as Apple and Samsung.
In May, the companyâs chief executive, John Chen, said he would know by September whether the hardware business was likely to become profitable.
Now, BlackBerry says it will outsource hardware development to partners.
But the company has not yet confirmed when any further BlackBerry phones will be released.
âBlackBerry canât keep producing its own phones indefinitely just to serve a small subset of its clients addicted to its home-grown devices,â said Ben Wood of the CCS Insight consultancy.
âBlackBerry had made no secret of the fact that it might shut down its own phone-making business. Pushing it out to a third party is a sensible solution - but any manufacturer making BlackBerry branded devices will ultimately face the same challenges.â
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Mr Chen has been candid about the future of BlackBerryâs handset business, saying he would consider closing the division if it could not become profitable.
In May, he told Bloomberg that he would know by September whether that was likely.
âThe first time I made that statement was September a year ago,â said Mr Chen.
âWhen people ask me, âHow long will it take?â⌠I said a year. So, itâs going to be September this year.â
In October 2015, BlackBerry changed the direction of its handset business by producing its first smartphone running Googleâs Android operating system, rather than its own BB10 software.
However, Mr Chen has admitted the device, which featured a slide-out physical keyboard, was too expensive to appeal to a mass market.
The company has since launched a less expensive touchscreen-only Android handset, based on a phone released by Alcatel.
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