BlackBerry launches Z10 in India amid claims of poor sales

BlackBerry launches Z10 in India amid claims of poor sales

Summary: The fruit-themed smartphone maker launches its Z10 in India, just as Nokia launches its own smartphone in China. Can you work out why? (Hint: analysts say Z10 sales are struggling only a month in.)

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TOPICS: India
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BlackBerry Z10 launches in India. Another final gasp of air in an emerging, burgeoning market? (Credit: CNET)

BlackBerry has launched its latest Z10 smartphone in India, the up and coming enterprise powerhouse, the Canadian phone maker said today.

But the news comes at the same time that two industry analysts suggest that sales in BlackBerry's latest smartphone platform have been slow, bordering on abysmal.

According to The Guardian, both Cannacord Genuity and Pacific Crest analysts have cut their estimates for the number of smartphones sold through retailers after speaking to sources in both stores and the upstream supply chain. 

Pacific Crest said that "any benefit from the Z10 is likely to be at least partly offset by cannibalisation of [BlackBerry] Bold 9900 sales," pegging between 1 million to 1.5 million Z10 smartphones will be shipped—not sold—by the end of the fiscal year, compared to 3 million to 4 million. 

The worst case scenario, the analysts say, is that BlackBerry may have sold just 300,000 new Z10 smartphones, which could put the company in deeper trouble after investing its last-ditch attempt to stave off drowning in the mobile market place in the platform.

Only today, similarly beleaguered phone maker Nokia announced it would aggressively target China and Asia markets with a mid-to-high end Windows Phone 8-powered Lumia 720, along with two feature phones to fill the lower-end of the market. 

Do you see a pattern emerging? For both BlackBerry and Nokia, it's all in or get out. 

While Nokia targets China, BlackBerry heads up India, a place it has invested heavily. The company recently folded to Indian government requests and set up a PIN-sharing agreement with authorities. In a bid to cut crime and the ongoing threat of terrorism, BlackBerry had to play ball with the country in order to keep its strong (albeit modest) presence in the country, which has a booming population of business users.

The BlackBerry maker finally gave in to pressure amid pressure from the Indian government and built back-end infrastructure and data servers in Mumbai in 2011.

(via The Guardian)

Topic: India

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29 comments
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  • Ok, now I'm confused on whom to believe

    The article says poor sales, but this link states that Blackberry is increasing production..... Who do we believe?

    http://www.streetinsider.com/Insiders+Blog/BlackBerry+(BBRY)+Surprised+at+Z10+Sales%3B+Will+Increase+Production+to+Meet+Demand/8127649.html
    sythe2279
    • The devil is in the details

      From that article: "...word from the company that Z10 sales might have been better than expected... Heins didn't issue specific figures for Z10 sales, only saying the company was 'surprised by the good reaction'."

      See that? No word on sales, and the company saw "better than expected" sales, which could have been a handful of handsets being sold. $BBRY hasn't offered anything of worth.

      Analysts are generally guess-workers, but they're intelligent guesses based on sources, real-hand evidence and knowledge of the supply chains. Some are better than others, and Pacific Crest knows mobile like the back of their hands -- even with gloves on. We'll only find out at the Q4 earnings in late March.
      zwhittaker
      • A coin flip is as good as Faucette

        The same guy who put a $760 price target on AAPL in October, as the stock continued to crater? And only changed his price target after the stock had reached bottom? That guy is the one who "knows mobile like the back of their hands"?

        Faucette is like a meteorologist who forecasts next week's weather by looking out the window.
        Highl|fe
      • Ck data

        The two analysts you mention are under 11 yrs industry exp with 4 and 5 different firms of employment. Not a good record. Goldman Sachs analyst recom's BUY, as does Peter Meisk of Jefferies, Scotia Bank and Berstein, among notable analysts. Your article fails to mention the buy ratings. The two analysts failed and your article fails to mention the other 24 countries that have launched Z10 for Feb sales figures. Your article writes as to what you read rather than conducting your own research. Defamatory remarks against BlackBerry who you will thank one day for bringing the safety and security of QNX OS to hand held mobile "computing' devices. Research QNX.
        RRD3773
      • Biased reporting. . .

        "Pacific Crest knows mobile like the back of their hands -- even with gloves on"

        And Goldman Sachs does not? Jefferies does not?

        "pegging between 1 million to 1.5 million Z10 smartphones will be shipped—not sold—by the end of the fiscal year, compared to 3 million to 4 million."

        "The worst case scenario, the analysts say, is that BlackBerry may have sold just 300,000 new Z10 smartphones, which could put the company in deeper trouble after investing its last-ditch attempt to stave off drowning in the mobile market place in the platform."

        WHICH fiscal year does your article refer to? March 2, 2013 for FY2013 or in 12 months for FY2014?

        A launch of the long awaited Z10 and Q10 will sell more than 300,000 devices over 12 months. There are 79 million existing users. Do the math.

        Your article is biased as to the two negative analyst reports without counter balance as to analysts that see the facts differently, analysts with better track records, longer tenure.

        The industry is known to issue reports to support in-house clients portfolio allocations (shorts). Analysts that have brief ad short tenures with firms are not respected in the industry. Please report the facts of analysts that are respected industry wise. There you will find accurate information.
        RRD3773
        • Count. . .

          The analysts reported a launch of 3 countries in their numbers. . .
          I count, with internet links, over 24 country launches to date: UK, CDA, UAE, Bahrain, Turkey, Lebanon, Oman, Qatar, Kuwait, Saudi Arabia, Egypt, Ghana, Nigeria, Kenya, South Africa, Ireland, France, Germany, Switzerland, Italy, India, Singapore, MALAYSIA, Venezuela, Brazil. Indonesia March 4th. If course "phones shipped" to carriers count as "sales". How can one launch without phones?
          RRD3773
    • Well......

      I trust analysts like I trust our federal government [you choose for which country]. Seems that most of these analystss look in a crystal ball that is defective. Most don't even have any actual facts to support their predictions.
      "...after speaking to sources in both stores and the upstream supply chain." A couple of stores and one supplier maybe? They never say.
      I think I'd trust the CEo a bit more. After all, if he lies, it's egg in his face.
      Gisabun
  • the pattern is with the writer

    If its good Blackberry news you probably wouldn't hear about it from Zack, I've read countless articles about how well its doing but many writers for some reason will choose the bad articles to repeat when it comes to Blackberry & they seem to choose only the good articles & analysts when it comes to I-phone. They even still lump i-phone & Android as the leaders when android right now is the ONLY clear leader
    gordongr
    • Great points

      I think Zack has an agenda. If he'd put it in his byline it wouldn't matter so much:

      "Written by Zack, BlackBerry hater"
      sagec
      • The blogger who had a string of BlackBerrys for four years?

        You have actually read some of my other stuff, right? Because *wow* you're wrong.
        zwhittaker
        • Blackberry outsells iphone and android

          The largest Canadian cell phone chain just reported that the blackberry z10 has outsold the iphone and android this month. How can you pretend to not know this? Just google it. You should take a hard look at your research and be aerious about ti before reporting it.
          Bryan Brodeur
          • Spelling

            Well i guess i should do a spell check b4 posting. But pls google z10 sales canada and it will be the first artcle you see.
            Bryan Brodeur
  • Wow... how can a Tech writer be so uninformed?

    Wow... how can a Tech writer be so uninformed? BlackBerry has been following a release schedule since January 30th and this so called "tech writer" doesn't even seem to be aware of it. Instead, the release of the BlackBerry Z10 into the Indian market is a sign of slumping sales. The logic (if it can be called that) of his argument completely eludes me and I must seriously call into question his motives for posting such tripe.
    xenrobia
    • Mighty big of you ...

      Way to write a non biased title for your article. Having done my own estimates based on everything I have read, I am expected BBRY to announce about 3 million in sell through of the Z10. I think the Z10 already owns 2%+ of the Canandian and UK smartphone markets.

      They manufactured 4 million phones at this point. This is almost a known based on ANALYST STATEMENTS. Yet some analysts say 300,000? Give me a break. You have to be deaf cumb blind and drunk to say 300,000.

      Anyways, again. Mighty big of you to write a non sensationalized headline. FWIW: How many Apple articles have been written with the same sensationalism after they cut production by 50%?
      some cool guy
  • BlackBerry is outselling the competition in the UK

    http://seekingalpha.com/article/1220811-blackberry-outsells-competition-at-the-u-k-s-largest-retail-store-and-in-business-sales?source=yahoo

    "Outselling the iPhone5 and the Galaxy S3 in the UK's Largest Retail Store and Crushing them in Business Sales"
    sagec
  • Cannacord track record = epic fail, read the article below

    http://www.stockhouse.com/bullboards/messagedetail.aspx?p=0&m=32226096&l=0&r=0&s=BB&t=LIST
    sagec
  • Michael Collins research better than most analysts opinions

    Michael Collins at Sekkingalpha.com is the only analysts providing credible research and analysis of Z10 sales, check out his work, its a refreshing read from all the 'opinions' and 'predictions' coming from Wallstreet analysts trying to cover their Short positions.
    pfezziwig
  • lol

    Give me a break... no hard facts. You got nothing dude.
    bfach
  • try researching your subject... some tech writer

    Why did i bother reading this drivel... At least you spelled everything correctly.
    bfach
  • BlackBerry 10 Device In India To Cost @ Rs 43,490

    Blackberry congrats u lost asnother customer. 45 K is what u pay for an iphone not a new fangled untested OS in a mediocre hardware
    nwoow