BlackBerry and Samsung have strengthened their deal in smartphone encryption and security, according to an announcement made Sunday. The Canadian firm said Samsung is integrating BlackBerry’s encryption and mobile billing technologies into its Knox security platform.
BlackBerry needs other platforms to flourish
According to BlackBerry, Samsung will be able to integrate its anti-eavesdropping mobile encryption technology into Knox-powered smartphones.
At this year's Sohn Investment Conference, Dan Sundheim, the founder and CIO of D1 Capital Partners, spoke with John Collison, the co-founder of Stripe. Q1 2021 hedge fund letters, conferences and more D1 manages $20 billion. Of this, $10 billion is invested in fast-growing private businesses such as Stripe. Stripe is currently valued at around Read More
The progress in the partnership is built on a deal announced in November and is vital to BlackBerry CEO John Chen’s target of doubling software sales to $500 million during the next fiscal year, according to the Journal. BlackBerry software enables the user to manage both work and personal phone numbers on the same phone. With the new technology, the companies will be able to pay for their employees’ work-related calls, text and data usage on Samsung phones that run on Knox.
Initially, BlackBerry designed software to enhance sales of its own devices, but the strategy fizzled out due to its dropping smartphone market share. Now, “I think there is a much bigger opportunity to make our software and package it correctly to make available across operating platforms,” said Mr. Chen ahead of the deal’s announcement on Sunday.
How the two will benefit
BlackBerry hopes to expand its customer base by partnering with Samsung. Around the world, BlackBerry’s market share dropped below 1%, and much of its turnaround depends on the success of its new mobile security software, which is known as BES12. The purpose of BES12 is to manage the corporate networks, and it can be integrated with all operating systems, including Google’s Android and Apple’s iOS.
On the other hand, Samsung is drawing benefits from BlackBerry’s stronger reputation for mobile security, which could allow the company to drive ahead its efforts in the enterprise market.
BlackBerry’s turnaround depends on security and other types of mobile offerings that will be compatible with all the major operating systems, according to Chen. Additionally, the company is determined to roll over its new software packages toward the end of this year for security, editing and monitoring documents and messages, and holding work meetings across different types of mobile devices.