3 Ways BlackBerry Ltd. Is Innovating for the Future

BlackBerry Ltd. (TSX:BB)(NASDAQ:BBRY) continues to advance new technologies and is set to become a major force in autonomous driving.

| More on:
The Motley Fool

BlackBerry Ltd. (TSX:BB)(NYSE:BB) has long been viewed by investors as a mixed opportunity. Long-time investors still burned from the epic drop that BlackBerry experienced in the years following 2011, when device sales dropped with each passing quarter as consumers and enterprise movers dropped the platform and moved to Android and iOS devices.

Over the course of the past year, BlackBerry’s business has not only stabilized, but has also shown signs of profitability, prompting many to view the company as a viable turnaround candidate.

Impressively, BlackBerry’s fortunes are no longer tied just to one initiative, but rather into several new areas that all show significant growth prospects.

BlackBerry has two new devices coming in 2018

Despite shuttering its hardware division well over a year ago, BlackBerry still has an impressive lineup of devices that continue to enter the market thanks to a series of partnerships established with third-party device manufacturers.

At CES earlier this month, BlackBerry revealed that there would be at least two new devices released in 2018 under that same successful partnership.

These partner manufacturers work with BlackBerry on designing new devices that the partner then builds and brings to market. This allows BlackBerry to retain a presence in the handset field as a niche player, and then focus on other areas where growth opportunities over the long term continue to persist, such as the automotive sector.

BlackBerry and the automotive sector

BlackBerry has been working feverishly on advancing the company in the automotive sector. BlackBerry’s QNX operating system is a secure, scalable system that is already in use in over 50 million vehicles. However, despite that massive market share, there’s an even bigger opportunity looming on the horizon for which BlackBerry has already made inroads.

Autonomous driving, and, by extension, secure communications between those self-driving cars and the myriad of systems in a vehicle is seen as the next evolutionary step in the automotive sector.

The past few years have seen a huge increase in the number of new safety and security systems offered in new vehicles. Many of these, such as Lane departure assist, active cruise control, self-parking controls and collision avoidance systems are merely the building blocks for a fully automated, self-driving car.

Linking those pieces together is where BlackBerry comes into play. QNX provides a secure and modular means of communication between those systems to occur in real-time. An example of this would be the vehicle sensing an upcoming obstacle and notifying the collision avoidance system to engage the breaks and then telling the lane departure system to move to a safer lane.

It sounds very much like science fiction, but these systems are real and already exist in a growing number of automobiles. BlackBerry has made significant progress over the past few months in bringing all these systems together.

Smart asset tracking

Another BlackBerry solution that’s gaining traction is an IoT asset tracking solution known as BlackBerry Radar. Radar is a tracking solution that allows real-time monitoring of any asset, whether it’s a shipping container, railcar or flatbed container, providing a host of requisite data ranging from temperature and humidity levels to speed and when a container door was last opened.

The solution has already proven successful for a number of clients and provides BlackBerry with yet another source of recurring revenue.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

Fool contributor Demetris Afxentiou has no position in any stocks mentioned. The Motley Fool owns shares of BlackBerry. BlackBerry is a recommendation of Stock Advisor Canada.

More on Tech Stocks

a-developer-typing-lines-of-ai-code-while-viewing-multiple-computer-monitors
Tech Stocks

Could Constellation Software Become the Next Berkshire Hathaway?

Constellation Software's (TSX:CSU) capital-allocation strategy is similar to that of Berkshire Hathaway (NYSE:BRK.B).

Read more »

cloud computing
Tech Stocks

3 No-Brainer Tech Stocks to Buy With $1,000 Right Now

These three Canadian tech stocks could be among the best growth opportunities in the market right now.

Read more »

happy woman throws cash
Tech Stocks

3 Growth Stocks That Could Be Long-Term Wealth Creators

These three growth stocks aim to grow their financials at a higher rate than the industry average, thus delivering superior…

Read more »

The virtual button with the letters AI in a circle hovering above a keyboard, about to be clicked by a cursor.
Tech Stocks

Is POET Technologies a Top AI Stock for Canadian Investors?

Canada has relatively few AI stocks, and the ones it has are different from American AI stocks in terms of…

Read more »

Rocket lift off through the clouds
Tech Stocks

2 Growth Stocks That Could Skyrocket in 2025 and Beyond

Wondering what types of stocks could rapidly rise in 2025? Check out these two stocks with substantial upside if they…

Read more »

up arrow on wooden blocks
Tech Stocks

The 3 Smartest Tech Stocks to Buy With $500 Right Now

Tech stocks can be seen as a bit risky, but these three have far less risk and more stability for…

Read more »

TFSA (Tax-Free Savings Account) on wooden blocks and Canadian one hundred dollar bills.
Tech Stocks

Shopify: A Must-Have Growth Stock for Your TFSA Now (and the Next 10 Years)

Shopify (TSX:SHOP) stock isn't just a top growth company, it's a titan worth owning in your decades-long TFSA fund.

Read more »

cloud computing
Tech Stocks

Best Stock to Buy Right Now: Manulife vs CIBC

Want the best stocks? These two are certainly the best options. But which is the better buy?

Read more »