Is Blackberry Going Android?

BlackBerry Ltd , which has been tight-lipped about its plans to make a mainstream Android smartphone, fueled more speculation about its plans this week when it scooped up two Android-related domain names.

Several blog posts in the last two days have noted that the Canadian handset maker bought the domain names “AndroidSecured.com” and “AndroidSecured.net” this week. That spurred more chatter that it intends to build a device powered by Google Inc’s  Android platform, which powers the vast majority of smartphones sold across the globe.

The purchase of the domain names is particularly interesting since BlackBerry Chief Executive John Chen has declined to confirm a June Reuters report that said the company was planning an Android phone.

Speculation that BlackBerry will embrace Android was also spurred this week by a Digitimes report that said the company plans to roll out several models of Android-based phones.

In the past three weeks, however, Chen has said at least twice that he would only build an Android phone if he can “secure Android”.

BlackBerry downplayed the significance of its domain name purchases in an email on Friday, saying: “BlackBerry frequently registers domain names to support the breadth of our cross-platform portfolio. Android is an important part of our cross-platform enterprise software strategy.”

Indeed, one of the domains, “AndroidSecured.com”, currently redirects users to a BlackBerry enterprise-focused site.

But that has not stopped a barrage of chatter on tech blogs about the purchases being part of BlackBerry’s plan to build its own secure Android, going beyond supporting existing Android phones on its BES12 device-management system. BES12 allows corporate and government clients to secure Android-, iOS-, Windows- and BlackBerry-powered devices on their networks.

Under the leadership of Chen, the Waterloo, Ontario-based company has been pivoting toward software and device management as its recent devices, powered by its BlackBerry 10 software, have failed to win mass appeal. Analysts and tech gurus believe a move to Android could give BlackBerry’s device arm a new lease on life.

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Will Blackberry Embrace Android?

BlackBerry Ltd’s move to embrace Android, although geared towards lifting revenue from its software and device management segment, could inadvertently give its device arm a new lease on life.

“From the standpoint of marketing, this is a great way for BlackBerry to get visibility. It really doesn’t hurt them much, and the upside is high,” said Rob Enderle, who runs technology consulting firm Enderle Group.

Enderle and other financial and tech analysts agree that the move by BlackBerry does present its own set of challenges as the company would have to support two platforms and potentially put some resources into marketing an Android device, but with little to lose most agree it comes with little downside.

“If Android has one significant weakness it is security and that’s just the thing that BlackBerry can fix, so it could play out pretty well and I am actually quite surprised that they did not try this sooner,” said Enderle, adding that BlackBerry has to deliver a compelling device in order for the gambit to work.

Reuters reported last week that BlackBerry was considering a move to test run Android on its upcoming slider device, as part of a bid to convince potential corporate and government clients that its device management system, BES12, is truly able of manage and secure not just BlackBerry devices, but also devices powered by Google’s Android, Apple’s iOS and Microsoft’s Windows operating system.

“In order for BES12 to succeed it has to be viewed by all as platform agnostic, and what better way to demonstrate that other than by doing it yourself,” said Ramon Llamas, an analyst with technology research firm IDC.

BlackBerry, which once dominated the smartphone market, has seen its market share drop to under 1 percent, as the iPhone and a slew of Android devices from Samsung have captured market share. John Chen, a turnaround expert brought in to fix its slide, is now pivoting BlackBerry to focus more on its well-regarded software and device management business.

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Can Android AT Work Entice The Enterprise?

Google Inc rolled out an initiative  to make smartphones running its Android software more appealing to corporations, a move that could help extend the Internet technology giant reach into workplaces.

Google said on its official blog that its Android for Work program will provide improved security and management features for corporations that want to give their employees Android smartphones. Smartphones supported by the new initiative will be able to keep an employee’s work and personal apps separate, and a special Android for Work app will allow businesses to oversee key tools such as email, calendar and contacts.

Google said it is partnering with more than two dozen companies including Blackberry Ltd, Citrix Systems Inc, Box Inc.

Google’s Android software is the world’s most popular mobile operating system, but many corporations, which have significant security and device management requirements, give their employees smartphones made by Blackberry or Apple Inc.

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BlackBerry To Patch For Heartbleed

BlackBerry Ltd said it will release security updates for messaging software for Android and iOS devices by Friday to address vulnerabilities in programs related to the “Heartbleed” security threat.

Researchers last week warned they uncovered Heartbleed, a bug that targets the OpenSSL software commonly used to keep data secure, potentially allowing hackers to steal massive troves of information without leaving a trace.

Security experts initially told companies to focus on securing vulnerable websites, but have since warned about threats to technology used in data centers and on mobile devices running Google Inc’s Android software and Apple Inc’s iOS software.

Scott Totzke, BlackBerry senior vice president, told Reuters on Sunday that while the bulk of BlackBerry products do not use the vulnerable software, the company does need to update two widely used products: Secure Work Space corporate email and BBM messaging program for Android and iOS.

He said they are vulnerable to attacks by hackers if they gain access to those apps through either WiFi connections or carrier networks.

Still, he said, “The level of risk here is extremely small,” because BlackBerry’s security technology would make it difficult for a hacker to succeed in gaining data through an attack.

“It’s a very complex attack that has to be timed in a very small window,” he said, adding that it was safe to continue using those apps before an update is issued.

Google spokesman Christopher Katsaros declined comment. Officials with Apple could not be reached.

Security experts say that other mobile apps are also likely vulnerable because they use OpenSSL code.

Michael Shaulov, chief executive of Lacoon Mobile Security, said he suspects that apps that compete with BlackBerry in an area known as mobile device management are also susceptible to attack because they, too, typically use OpenSSL code.

He said mobile app developers have time to figure out which products are vulnerable and fix them.

“It will take the hackers a couple of weeks or even a month to move from ‘proof of concept’ to being able to exploit devices,” said Shaulov.

Technology firms and the U.S. government are taking the threat extremely seriously. Federal officials warned banks and other businesses on Friday to be on alert for hackers seeking to steal data exposed by the Heartbleed bug.

Companies including Cisco Systems Inc, Hewlett-Packard Co, International Business Machines Corp, Intel Corp, Juniper Networks Inc, Oracle Corp Red Hat Inc have warned customers they may be at risk. Some updates are out, while others, like BlackBerry, are rushing to get them ready.

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Can Blackberry Be Sold?

Struggling smartphone maker BlackBerry is reviewing several options that could include joint ventures, partnerships or an outright sale, as the company’s leading shareholder steps down from its board in a possible prelude to taking a different role.

BlackBerry, which pioneered on-your-hip email with its first smartphones and email pagers, said on Monday it had set up a committee to review its options, sparking debate over whether Canada’s one-time crown jewel is more valuable as a whole or snapped up piece by piece by competitors or private investors.

The company said Prem Watsa, whose Fairfax Financial Holdings Ltd is BlackBerry’s biggest shareholder, was leaving the board to avoid a possible conflict of interest as BlackBerry determines its next steps.

The resignation of Watsa, often described as Canada’s version of Warren Buffett, suggests Fairfax may be part of a solution.

BlackBerry, once a stock market darling, has bled market share to the likes of Apple Inc and phones using Google Inc’s Android operating system, and its new BlackBerry 10 smartphones have failed to gain traction with consumers.

Blackberry shares rose 7.5 percent to $10.80 in New York and C$10.84 in Toronto in afternoon trading. But the shares remain well below the levels seen in June, before the company reported dismal results that included poor sales of the BlackBerry 10 phones it viewed as key to a successful turnaround.

The share price peaked at about C$150 in June 2008.

A clean balance sheet makes the smartphone seller an enticing takeover candidate. Like Dell Inc, it is a tech icon in need of a turnaround. But BlackBerry’s cash flow is worse, meaning leverage would be extra risky.

The company’s assets include a well-regarded services business that powers BlackBerry’s security-focused messaging system, worth $3 billion to $4.5 billion; a collection of patents that could be worth $2 billion to $3 billion; and $3.1 billion in cash and investments, according to analysts.

But the smartphones that bear its name have little or no value, and it may cost $2 billion to shutter that unit, the analysts said.

Analysts expressed skepticism about the new committee, noting that BlackBerry announced similar steps more than a year ago when it hired JPMorgan and RBC as financial advisers. A source said both are still involved in the strategic review.

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BlackBerry’s Secure Goes To iOS

BlackBerry continues to expand its support for Android and iOS with Secure Work Space, which separates work and personal apps and data, as the device maker tries to hold on to enterprise users by becoming more platform neutral.

Remaining relevant in a world where more than 9 out of 10 smartphones shipped are based on either Google’s Android or Apple’s iOS isn’t easy for BlackBerry. But the company still has fans in enterprise IT departments and hopes to remain an option for users by continuing to embrace the two dominant platforms. The company can already manage devices based on Android and iOS, and support for BlackBerry Messenger is on the way.

BlackBerry announced Secure Work Space in March and has now made good on a promise to ship it before June 30. The software is an add-on to BlackBerry Enterprise Service (BES) 10, and it adds a managed container to protect corporate data and applications running on Android and iOS devices.

Users get integrated email, calendar and contacts, as well as secure browser access to intranets and document editing capabilities. Data is protected both when stored on the device and when transferred to and from enterprise servers, according to BlackBerry.

“The concept is right and very similar to what AT&T offers with Toggle. Creating two different “personas” on mobile devices is becoming a best practice for enterprises. Buying it from BlackBerry is probably most relevant for enterprises that have a major commitment to BlackBerry 10 and BES 10,” said Leif-Olof Wallin, research vice president at Gartner.

On BlackBerry 10 smartphones, BlackBerry has tightly integrated a personal and a work environment with the Balance feature.

BlackBerry is far from the only vendor that has adopted this concept. One competitor is Good Technology, which on Tuesday announced a whole host of new applications compatible with its Dynamics Security Mobility platform, which includes support for both app wrapping and encrypted app containers. The list of newcomers includes Mobility for SAP and remote access app Splashtop.

But for those interested in Secure Work Space, which is based on software from OpenPeak, the BES 10 server software is free to download. Annual client access licenses for Secure Work Space are $99 per year and device. For enterprises that want to get their feet wet, the platform is also available as a 60-day free trial bundle that includes device management for BlackBerry 10, iOS and Android devices, as well as Secure Work Space licenses for 50 users.

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RIM Goes Non-BlackBerry

Research In Motion on Tuesday launched software that will allow its large “enterprise” customers to manage Apple and other rival devices through the same servers as they use for the BlackBerry smartphone and Playbook tablet.

The new Mobile Fusion software, first announced in November, is an acknowledgement of sorts by RIM of a growing preference by many users inside big corporations and government to access professional communications over their personal devices, often the Apple iPhone or iPad, or devices running Google’s Android.

RIM, which long dominated the so-called enterprise market, has watched the BlackBerry’s market share steadily erode in recent years. Unable to arrest the trend, the company now aims to generate a fresh revenue stream from it. Mobile Fusion will cost $99 per user to license and $4 per user a month, with discounts available for bulk orders.

In a second announcement on Tuesday that highlights RIM’s eroding market position, it said its PlayBook tablet now boasts 15,000 applications – still just a tiny fraction of the number available on the iPad. One of the biggest complaints about RIM’s products is the dearth of content and applications.

A recent survey from Appcelerator and IDC showed less than 16 percent of developers were “very interested” in creating programs for RIM, compared with 90 percent for Apple and 80 percent for Android.

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30% Of BlackBerry Users Want Out

The BlackBerry smartphone and its maker, Research in Motion, were in serious trouble even before last week’s global service disruption.

More than 30% of BlackBerry users in large companies said in September, a month before the outage, that they were looking to use a different smartphone device in 2012, according to a survey of 243 smartphone users in companies with more than 10,000 workers by Enterprise Management Associates (EMA).

“With last week’s outage, I suspect the 30% number is even higher,” said Steven Brasen, the EMA analyst who conducted the survey. “User satisfaction with BlackBerry is by far the lowest of smartphones. A huge number are dissatisfied.”

Brasen said the survey found that 11% of BlackBerry users in large companies are “completely dissastisfied” with the device, while only 2% of iPhone users and 0% of Android users are completely dissatisfied with their smartphones.

Brasen said the opinions of end users are becoming very important to IT executives.

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