Blackberry lost nearly $1 billion last quarter and taking the company private was the only option left for the company, according to Frost & Sullivan's Lawrence Lundy.
"Going private will give the company room to reorganise away from the glare of the markets. In order to survive Blackberry will need to pull out of the handset and mobile OS markets. Blackberry will no longer be a consumer company, it will be an enterprise security company," he said.
"Before it overreached and attempted to compete in the consumer market, Blackberry was the first choice for corporate IT departments. Apple and Android manufacturers, namely Samsung, have been improving their enterprise offerings of late, meaning that Blackberry is no longer the default option for enterprise. If Blackberry is to survive it will need to go back to its roots, and hope that it is not too late.
"Blackberry still has a strong brand around the world, an industry leading security system and relationships with many of the world's largest companies. By focusing on Blackberry Enterprise Services and extending Blackberry Messenger (BBM), and making these services available across all platforms and devices, the company can continue to exist albeit in a much smaller form. This will enable customers to meet the needs of their employees with devices they want, with the security and control required by IT.
"With Nokia retreating into network communications equipment, and Blackberry to move into enterprise security services, the two biggest names in consumer mobile phones just five years ago are no longer. The technology industry has always moved fast, but the speed at which companies can rise and fall has become dizzying."