Business

BlackBerry grasps at mobile payments in attempt to stay relevant

Above: A BlackBerry user

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With its smartphone sales shrinking, BlackBerry is pivoting to enterprise services in order to stay afloat, and now it sees mobile payments as its next big opportunity.

BlackBerry has signed a three-year deal with mobile payments firm EnStream, a joint venture by Canada’s three largest wireless carriers, to secure and transfer credit card information between smartphone owners and banks, BlackBerry announced today. A BlackBerry representative declined to disclose the terms of the deal.

EnStream will use BlackBerry’s backend infrastructure to enable banks and other mobile wallet providers to process near-field communication (NFC) payments.

“Working with EnStream demonstrates BlackBerry’s strategy to extend its core enterprise mobility technologies in new and emerging industries,” BlackBerry said in a statement.

The mobile payments company was already a BlackBerry customer: EnStream uses BlackBerry software to manage and secure subscriber info on SIM cards, the result of a deal it signed in October 2012.

The leaner, more enterprise-focused BlackBerry has launched a suite of mobile services and platforms under its new CEO, John Chen, who is desperately trying to stem the company’s losses. It’s shifted focus away from its handset making business to mobile platforms and services, like its BlackBerry Messenger client and mobile device management platform.

In its March earnings report — the first time Chen was CEO for an entire quarter — the company reported a $42 million loss, which was actually less than what analysts expected. That’s a huge improvement from the third (fiscal) quarter of 2014, when the company announced a monumental $4.4 billion loss and 56% revenue drop.

More information:

Research In Motion, Ltd., is a provider of wireless solutions for the mobile communications market. The company is the designer and manufacturer of the BlackBerry smartphone brand, and also creates touchscreen and mobile keyboard techn... read more »

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3 comments
Bill Eidson
Bill Eidson

Actually this is just a step in a long process.  If you have not tried the BB10 phones you should.  BB10 will be replacing MSFT in Fords soon their automotive solution.  And @Emery RIM has been officially dead for about a year now.  Its Blackberry LTD.