San Francisco, CA, United States (4E) – Mobile maker BlackBerry seems open to the idea of breaking itself up into pieces to make it attractive to potential buyers. Fairfax Financial Holdings was rumored to be an early buyer of the struggling smartphone company but it has been unable to find any partners and funding to complete the $4.7 billion sale.
The strategy of breaking up the company would allow separate sales of patents and enterprise businesses. If BlackBerry does break itself, companies such as Cisco and Samsung have expressed interest.
“If you break up the company, you’re going to get more than the company is worth right now,” said Sachin Shah, a strategist at New York-based Albert Fried & Co, according to Bloomberg News.
BlackBerry’s patents are valued at an estimated $3 billion, according to analysts. Almost half of that $3 billion value is the company’s smartphone and wireless network patents. It’s estimated that BlackBerry’s enterprise network is valued between $550 million to $1.1 billion.
SAP is targeting BlackBerry’s enterprise businesses, while Samsung and Cisco want ownership of the company’s patents.
BlackBerry once dominated the smartphone market. But it has lost its position to Apple’s iPhone and Android-powered devices.