Can Chen save the blackberry?

November 4, the BlackBerry announced the abandonment of the sale plan, while CEO Haines left office, the senior Chinese executive Chen (John Chen).

German Haines, who has been betting the company's future on BB10 since his BlackBerry, is trying to return to mainstream rivals, but the poor performance of BlackBerry for two consecutive quarters shows that the effort has not worked. After the privatization farce has come to an end, BlackBerry still has to face the grim situation.

Most BlackBerry employees are unfamiliar with the Chen, but have had the success of the tide. In the 90 's, he led the same beleaguered Sybase to revive the plan, and in 2010, 5.8 billion dollars was purchased by SAP, the highest price of SAP acquisition in the past.

From this, the BlackBerry is trying to use Chen to pull down the potential. But the market is not bullish on the latest BlackBerry decision, whether it is the effort to give up the sale or CEO appoints is further depressing the already cheap stocks.

As of 5th, the BlackBerry's share price tumbled 16.4% to its lowest point since October 2003.

James Moorman, S&p Capital analyst, says privatisation is a better way for BlackBerrys. "The BlackBerry's decision-making adjustment requires more cash flow support, and privatisation funds could buy more time for the BlackBerry," he said. ”

"There is unlikely to be a new buyer in the market at present," said Nomura. ”

"I don't expect to buy blackberries with anyone, and I will concentrate on improving the BlackBerry's situation," he said. "Chen's statement at this time is not immediate, let the market rebuild confidence in the BlackBerry." But the outside world remains curious and continues to focus on the success of the fire captain's latest adventure.

Who the hell is Chen?

Chen, a native Hong Kong citizen, joined SYBASE,2012 in 1997. When Chen was in charge of Sybase in 1998, the software company was in the midst of an adjustment period, releasing 10% of the world's layoffs and stocks falling to their all-time lows. But 2 years later, Chen sold Sybase to the German software giant SAP at 6 times times the price he entered Sybase, while Chen also received 93 million dollars in compensation.

Chen often said that Gartner had a 70% chance of a Lehman bankruptcy when he was just in charge of Sybase. "I will stay in the tech circle because that is the only skill I have accumulated," Chen said in a media interview. ”

After leaving SAP, Chen as the senior analyst of Silver Lake Capital. Prior to his tenure as Sybase CEO, Chen worked for Siemens, Pyramid Marvell and Burroughs Corp.

In fact, Chen market analysts and the industry are not a few, market analyst Jack Gold (J. "Chen knows how to run a mobile phone company and he can bring new growth to the company or at least let the company sell a price that is much higher than the current valuation," Gold Associates said in his analysis. ”

Fairfax Financial Holdings CEO Pleme Vatesa (Prem Watsa) said to the media: "When Chen took over Sybase, Sybase's share price dropped nearly 90%, but he saved Sybase very well." He'll do it in the BlackBerry, too. ”

However, the BlackBerry is now in worse shape than Sybase's, and 1 billion of dollars of operating expenses a year have not left the new CEO of Hong Kong much time. What problems will Chen face when he takes office?

Chen several big problems after taking office

In the past, BlackBerry relied on the security of the system and the physical keyboard once ruled the former smartphone era. However, the advent of Apple's iphone has made the BlackBerry's fortunes plummet. Whether at the enterprise or consumer level, BlackBerry lacks the unique hardware and software experience and ecology that can compete with Apple, Android and even Microsoft.

In fact, the 2010 BlackBerry can not rush to open up their most not good at the consumer-level market, if you can realize that to combine the hardware and software experience, decisively launched for the enterprise and customers to create a unique smartphone experience, then, BlackBerry at least in this war to hold the stronghold.

So, for Chen, the most important thing is probably to make up for the BlackBerry software Short board, while combining the hardware and software to launch the real features and attractive products.

Moreover, with the further saturation of smartphones in Europe and the US, BlackBerry must have a clear strategy for emerging market development, especially in the Chinese market. This may have some advantages for Hong Kong-born Chen.

Most importantly, the BlackBerry needs to quickly come up with measures to restructure employees and the market's confidence. While the BlackBerry holds 2.6 billion dollars in cash, it has little time left.