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Facebook And WhatsApp Might Be Doing BlackBerry A Favor

Summary

On the face of it, the fact that Facebook and WhatsApp are dropping support for BB10 looks bad for BlackBerry.

However, this will force BlackBerry to make the transition to Android sooner rather than later - I think eventually BB10 will be history.

This means that Facebook and WhatsApp are doing BlackBerry a favor, because Android might be what just might save BlackBerry in the future.

As you all probably know by now, Facebook (NASDAQ:FB) and WhatsApp will not be updating their apps for the BB10 platform after the end of 2016. Facebook was the first to discontinue support for BB10 and WhatsApp followed a short while ago.

And the reason for this I think is obvious - BlackBerry's (NASDAQ:BBRY) global market share is dwindling into oblivion year after year, and many companies can't justify the cost anymore.

The truth of the matter is that BB10's market share has been dwindling for years, even as many popular apps like Facebook, Messenger and WhatsApp were updated regularly. In other words, the fact that these apps will no longer be updated is not the reason for BlackBerry's market share problems. BlackBerry has been losing market share just fine by itself. It did not need the help of popular apps dropping their support.

However, there might be a silver lining is all this. And that is, users of the BlackBerry Priv will not be affected. Because the Priv runs on Alphabet's (NASDAQ:GOOG) (NASDAQ:GOOGL) Android OS, it will not be impacted by what happens to BB10 supported apps.

So how is this good for BlackBerry?

In my opinion, I think BlackBerry will eventually drop BB10 and take one big write-down. I cannot tell you if this will be...


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