BlackBerry announced in June that users of its BlackBerry 10.3 operating system will have access to the 240,000 Android apps in the Amazon Appstore. BlackBerry CEO John Chen said the move satisfies two needs: greater app availability for customers and enhanced productivity solutions for businesses. The 10.3 OS is slated for release later this year. The news may have some large implications for a company some thought had an uncertain future.
App Attraction
The biggest reason for the dwindling numbers of customers for BlackBerry was the lack of apps. Other platforms feature robust app stores that have led BlackBerry users to switch. Through the Amazon partnership, the company aims to bring back some old customers and attract new ones.
The BlackBerry Keyboard Is Still King
Many BlackBerry users left with reluctance, and that’s because the BlackBerry keyboard is still the best. Despite its many improvements, the iPhone still has a long learning curve—and even after you get comfortable on it, the keyboard is still a culprit for awkward misspellings. Ditto most Android phones. For users who compose long emails and messages on the go, a move back to an app-filled BlackBerry makes good sense.
Practicality
The mobile market today is inundated with cheaply made phones that ignore the initial goal of a smartphone—to serve as a personal digital assistant. But with greater app access, BlackBerry is now a practical alternative. Those former customers will be able to enjoy a new range of apps and functionality in the familiarity of the BlackBerry interface and comfortable keyboard. Not only is this re-attracting former customers and attracting new ones, but it will also stop current BlackBerry users from switching.
Making a Strong Business Phone Stronger
The announcement also makes BlackBerry smartphones more appealing in the enterprise arena. BlackBerry’s strongest demographic is business people, and adding access to the Amazon Appstore only makes the range of BlackBerry 10 devices an even stronger work phone.
Through the BlackBerry MDM (Mobile Device Management) system, companies have greater control over the management of their work phones. Management can control not only the devices they lend to employees, but the use of apps to help increase productivity. The Amazon Appstore partnership will only increase an employee’s ability to use mobile tools and apps to effectively deliver to clients and customers.
Moving to Emerging Markets
BlackBerry’s announcement also makes the devices more attractive in emerging markets. The company released BBM Money last year in Indonesia. The service ties a bank account to your device and enables you to make transactions between your contacts. Services like this already exist in Google Play and the iTunes Store. BlackBerry plans on expanding this service, due to its success in Indonesia.
The company also released the BlackBerry Z3 in Indonesia in May of this year, and according to its website, sold out in the first weekend—demonstrating that BlackBerry has established a stronghold in the region. A well-made, affordable smartphone is well-positioned to make an impact in this and other emerging markets where prices on iPhones and Samsung devices are known to be sky-high, especially when you take into consideration that the quick sell-out of the BlackBerry Z3 came before the announcement of the Amazon partnership.
BlackBerry has already had success with their innovative money service and the new BlackBerry Z3 in a smaller market. If the company can experience the same success in similar emerging markets, they have the potential to regain worldwide market share they may have lost over the last few years.
Time Will Tell
Effects of the Amazon app partnership won’t be felt for a while. But, this move is certainly going to improve the situation for BlackBerry. New and old customers won’t shy away from their devices because of the lack of apps, and as a result, app developers will be more inclined to create apps for them. And since the announcement, the markets have reacted favorably—one week after the news, BlackBerry stock rose by two dollars. Stay tuned; this could be a big year for BlackBerry.
