Press Release: February 18, 2010
BlackBerry was unopposed in the business communications device market, benefitting from a lack of a strong competitor and a track record of reliability.
However the arrival of the iPhone 2007 transformed the marketplace as value began to be placed on innovation and the flexibility afforded to the modular 'Application' system championed by Apple.
BlackBerrys main selling point though, remains its resilience in email communication, BBM instant messaging tool and the comparatively low bandwidth required by the handset to operate when compared to its more aesthetically concentrated rivals.
Mr Lazaridis says that as mobile networks face a growing "capacity crisis" due to soaring demand for internet access, BlackBerry's "secret weapon of efficiency" will become a real competitive advantage. He claims that because BlackBerry's email service uses less capacity than other email systems, mobile networks already under pressure from growing demand for bandwidth can carry five Blackberrys for every one iPhone. "In the past it was sort of a hidden thing, people didn't really talk about it" he says. But as the data-hungry iPhone pushes the O2 network in the UK and AT&T in the US to breaking point, he says efficiency will become the new trump card.
In addition to this the company's new WebKit browser uses one third the bandwidth capacity of rivals. Mr Lazaridis says that "Blackberrys are the only devices to work during moments of crisis. There's a reason for that the BlackBerry is five times more efficient in terms of email and has a much longer battery life."
If this capacity crunch becomes a reality, any device with frugal bandwidth needs will instantly become more attractive to the consumer, a point Mr Lazaridis agrees with. "The bottom line is all the carriers will run out of capacity within the next three to five years. By being thoughtful with our applications, we are enabling them to get better value out of their networks, that's good for them and their shareholders."
Vocal are a market leading provider of mission critical business communication solutions to over 1800 businesses worldwide, from Business Continuity and Emergency Planning applications through to Corporate Communication systems.
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Authored by James Golding
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