BlackBerry’s Revenue Dips Amid Lower Cybersecurity Demand

Daniel Attoe
Daniel Attoe

Updated · Sep 28, 2022

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The company’s revenue slightly beat speculation from analysts. 

“Solid Quarter”

BlackBerry’s total revenue has dipped 4% to $168 million for the year’s second quarter as it grapples with falling earnings from cybersecurity. The company’s shares sank by around 3% following the report.

In an earnings call on Tuesday, the Canadian software company disclosed that revenue from its cybersecurity unit fell to $111 million – an 8% decrease year-over-year. BlackBerry is facing stiff competition from security software giants like Microsoft, IBM, and Citrix Systems. 

It forecasts earnings from cybersecurity to be flat YoY for the third quarter.

On the flip side, revenues from its Internet of Things (IoT) division soared by 28% to $51 million. The firm’s QNX software is embedded in more than 215 million vehicles globally by car manufacturers like BMW, Mercedes Benz, General Motors, Toyota, and Honda.

“This was a solid second quarter for BlackBerry, where we delivered both revenue in line with, and EPS ahead of, expectations,” said John Chen, Executive Chairman & CEO.

BlackBerry enjoyed massive success as an interactive pager and smartphone maker before dwindling demand and revenue forced it to sell off that segment. In January this year, it decommissioned the operating system and infrastructure used by its non-Android smartphones.

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Daniel Attoe

Daniel Attoe

Daniel is an Economics grad who fell in love with tech. His love for books and reading pushed him into picking up the pen - and keyboard. Also a data analyst, he's taking that leap into data science and machine learning. When not writing or studying, chances are that you'll catch him watching football or face-deep in an epic fantasy novel.

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