BlackBerry's demise is a warning
Technology
BlackBerry's selling point was email on the go.
NEW YORK (Reuters) - In the financial market boom years leading up to the 2008-09 crisis, nearly every mover and shaker used a BlackBerry (BB.TO).
The now $5 billion company pulled life support from the phones, saying the operating system would no longer be reliable for data or emergency calls.
BlackBerry’s selling point was email on the go. Top executives hungered for their “crackberries” and that allowed the company to charge premium prices.
The addiction propelled it to an $80 billion market capitalization in 2008. Yet iPhones had already hit the market. With a more intuitive operating system and a vast number of apps, users started switching and didn’t stop.
Makers of early digital organizers, GPS devices and video cameras were likewise all gutted by rival gadgets that leapfrogged them. Wireless-speaker specialist Sonos (SONO.O), for one, has learned the lesson: It now embeds virtual-assistant technology from Amazon.com.
And TV streaming hardware outfit Roku (ROKU.O) has moved into content. They have their work cut out to stay in front. BlackBerry’s lesson is that when cult gadgets start losing their edge, it’s hard to pull out of the descent.
