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BlackBerry Z10 prices slashed in U.S. as evidence of weak sales mounts: report
Matt Reeder | 13/07/12 | Last Updated: 13/07/12 4:20 PM ET
More from Matt Reeder | @matt_reeder
AP Photo/The Canadian Press, Frank GunnOne investor called BlackBerry's U.S. launch of the Z10 a "disaster" at the company's annual general meeting this week.
It’s been a mere three months or so since BlackBerry Ltd.’s latest touchscreen smartphone — the Z10 — went on sale in the U.S., yet three major sellers there are already drastically reducing their prices on the device, the Wall Street Journal reports.
Electronics retailer Best Buy Co. and telecom giants AT&T Inc. and Verizon are now reportedly offering the smartphone to customers at a discounted rate.
“While discounting is fairly common in smartphone sales, the fact that the Z10 is on sale so soon after its late-March launch could be another sign that the phone isn’t selling well,” says the Journal report.
Last Friday, BlackBerry reported smartphone sales that disappointed analysts.
Best Buy and AT&T made the most drastic cuts in price, dropping the phone to US$49 for a two-year contract from the original price of US$199.
Verizon will now offer the Z10 for US$99 on a two-year contract.
BlackBerry did not respond to a request for comment.
BlackBerry CEO Thorsten Heins acknowledged this week at the company’s annual meeting that the U.S. launch of the Z10 has been difficult, calling the market there “ferocious.”
Shareholders have been less forgiving with their reading of the situation. One investor called the Z10 launch a “disaster” at the AGM this week.
The device went on the sale in the U.S. in late March, about two months after it debuted in the U.K. and Canada.
After posting a money-losing first quarter last Friday that fell short of Wall Street expectations, questions are once again being raised about whether or not BlackBerry can compete in a market now dominated by Apple Inc.’s iPhone and smartphones running Google Inc.’s Android software.
BlackBerry shares closed down about 1% on Friday.
With files from Matthew Braga and Matt Hartley, Financial Post
http://business.financialpost.com/2013/07/12/blackberry-z10-discount-sales/?__lsa=cf95-50b4
Matt Reeder | 13/07/12 | Last Updated: 13/07/12 4:20 PM ET
More from Matt Reeder | @matt_reeder
AP Photo/The Canadian Press, Frank GunnOne investor called BlackBerry's U.S. launch of the Z10 a "disaster" at the company's annual general meeting this week.
It’s been a mere three months or so since BlackBerry Ltd.’s latest touchscreen smartphone — the Z10 — went on sale in the U.S., yet three major sellers there are already drastically reducing their prices on the device, the Wall Street Journal reports.
Electronics retailer Best Buy Co. and telecom giants AT&T Inc. and Verizon are now reportedly offering the smartphone to customers at a discounted rate.
“While discounting is fairly common in smartphone sales, the fact that the Z10 is on sale so soon after its late-March launch could be another sign that the phone isn’t selling well,” says the Journal report.
Last Friday, BlackBerry reported smartphone sales that disappointed analysts.
Best Buy and AT&T made the most drastic cuts in price, dropping the phone to US$49 for a two-year contract from the original price of US$199.
Verizon will now offer the Z10 for US$99 on a two-year contract.
BlackBerry did not respond to a request for comment.
BlackBerry CEO Thorsten Heins acknowledged this week at the company’s annual meeting that the U.S. launch of the Z10 has been difficult, calling the market there “ferocious.”
Shareholders have been less forgiving with their reading of the situation. One investor called the Z10 launch a “disaster” at the AGM this week.
The device went on the sale in the U.S. in late March, about two months after it debuted in the U.K. and Canada.
After posting a money-losing first quarter last Friday that fell short of Wall Street expectations, questions are once again being raised about whether or not BlackBerry can compete in a market now dominated by Apple Inc.’s iPhone and smartphones running Google Inc.’s Android software.
BlackBerry shares closed down about 1% on Friday.
With files from Matthew Braga and Matt Hartley, Financial Post
http://business.financialpost.com/2013/07/12/blackberry-z10-discount-sales/?__lsa=cf95-50b4
