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Blackberry: the story on HearLore | HearLore
Blackberry
The first BlackBerry device, the 850, was introduced on the 19th of January 1999, marking the beginning of a revolution in mobile communication that would redefine how the world conducts business. Before this moment, mobile phones were primarily for voice calls, and pagers were one-way devices that required users to call a number to retrieve a message. Research In Motion, a Canadian company based in Waterloo, Ontario, created a two-way pager that could send and receive email wirelessly over the Mobitex network, a technology that allowed for an always-on state. This innovation removed the need for users to tether themselves to a personal computer to check their inbox, a convenience that would soon make the device indispensable to corporate America. The name BlackBerry itself was coined by the marketing firm Lexicon Branding, chosen from about 40 potential names because the buttons on the keyboard resembled the drupelets of the blackberry fruit. This simple yet evocative name would become synonymous with productivity and connectivity for over a decade.
The Corporate Lifeline And The Crackberry Craze
By 2005, the BlackBerry had become so ubiquitous in the corporate world that it earned the nickname Crackberry, a term formally recognized by Webster's New World College Dictionary in 2006, reflecting its seemingly addictive nature among business professionals. The device became a major advantage over conventional pagers and removed the need for users to tether to personal computers, making it the preferred choice for executives and government officials who needed to stay connected on the go. The United States government became the company's biggest customer, relying on the device's reputation for secure communications to handle sensitive data. This reliance was so profound that during a patent infringement lawsuit in 2005, the US Department of Defense filed a brief stating that an injunction shutting down the BlackBerry service while excluding government users was unworkable. The device was crucial for national security given the large number of government users, and the government's dependence on the platform was so significant that it nearly forced the company to change its business model to avoid a shutdown of its systems in the US.
The Patent War That Almost Killed The Company
In 2000, NTP sent notice of its wireless email patents to a number of companies and brought a patent-infringement lawsuit against Research In Motion in the United States District Court for the Eastern District of Virginia, a court known for its strict adherence to timetables and deadlines. The jury eventually found that the NTP patents were valid and that RIM had infringed the patents in a willful manner, costing NTP US$33 million in damages. The judge, James R. Spencer, increased the damages to US$53 million as a punitive measure and issued an injunction ordering RIM to cease and desist infringing the patents, a decision that would have resulted in the closure of BlackBerry's systems in the US. The situation escalated to the point where the US Department of Justice filed a brief requesting that RIM's service be allowed to continue because of the large number of BlackBerry users in the US Federal Government. On the 3rd of March 2006, after a stern warning from Judge Spencer, RIM and NTP announced that they had settled their dispute, with RIM agreeing to pay NTP $612.5 million in a full and final settlement of all claims. This settlement was believed low by some analysts because of the absence of any future royalties on the technology in question, but it saved the company from a potential collapse.
The first BlackBerry device, the 850, was introduced on the 19th of January 1999. Research In Motion created this two-way pager to send and receive email wirelessly over the Mobitex network.
Who coined the name BlackBerry and why was it chosen?
The marketing firm Lexicon Branding coined the name BlackBerry because the buttons on the keyboard resembled the drupelets of the blackberry fruit. The name was selected from about 40 potential options to become synonymous with productivity and connectivity.
What happened during the 2005 patent infringement lawsuit involving BlackBerry?
The US Department of Defense filed a brief stating that shutting down BlackBerry service was unworkable due to the large number of government users. RIM and NTP settled their dispute on the 3rd of March 2006, with RIM agreeing to pay $612.5 million to avoid a shutdown of its systems in the US.
When did BlackBerry Limited discontinue its legacy software platform services?
BlackBerry Limited discontinued its legacy BlackBerry software platform services on the 4th of January 2022. This discontinuation included blackberry.net email, BlackBerry Messenger, BlackBerry World, BlackBerry Protect, and Voice Search.
How did the NSA access BlackBerry user data during the 2013 mass surveillance disclosures?
The National Security Agency and the Government Communications Headquarters accessed user data through BlackBerry Internet Service which compresses but does not encrypt data. GCHQ re-established access to the devices using a tool named SCRAPHEAP CHALLENGE that allows for perfect spoofing of emails from Blackberry targets.
At its peak in September 2011, there were 85 million BlackBerry services subscribers worldwide, making it the leading smartphone platform in the US for some time. However, the company began to lose market mainly to the Android and iOS platforms, and its numbers had fallen to 23 million in March 2016, a decline of almost three-quarters. The decline was so severe that in February 2016, the BlackBerry headquarters in Waterloo, Ontario, Canada, slashed 35 percent of its workforce. By early 2016, BlackBerry market share dropped to 0.2%, and in Q4 2016, reports indicate BlackBerry sold only 207,900 units, equivalent to a 0.0% market share. The company struggled to compete against both the iPhone and the Android platform, and after device sales peaked in 2011, its share plunged in the years after, leading to speculation that it would be unable to survive as an independent going concern. Despite these challenges, the company managed to maintain significant positions in some markets, but the global user base declined dramatically since its peak of 80 million in June 2012, dropping to 46 million users in September 2014.
The Last Stand And The Licensing Era
On the 28th of September 2016, BlackBerry Limited announced it would cease designing its own BlackBerry devices in favor of licensing to partners to design, manufacture, and market. The original licensees were BB Merah Putih for the Indonesian market, Optiemus Infracom for the South Asian market, and BlackBerry Mobile, a trade name of TCL Technology, for all other markets. New BlackBerry-branded products did not manage to gain significant market impact and were last produced in 2020. A new American licensee planned to release a new BlackBerry before it shut down in 2022 without a product. On the 4th of January 2022, BlackBerry Limited discontinued its legacy BlackBerry software platform services, which included blackberry.net email, BlackBerry Messenger, BlackBerry World, BlackBerry Protect, and Voice Search. Following the discontinuation of BlackBerry smartphones and their related services, BlackBerry Limited transitioned to providing software and services and holds critical software application patents. The company's journey from a hardware manufacturer to a software and security provider marked the end of an era for the iconic brand.
The Security Paradox And Government Surveillance
BlackBerry gained a reputation for secure communications, which led to the US government becoming its biggest customer and making use of BlackBerry services. However, it was revealed as part of the 2013 mass surveillance disclosures that the American and British intelligence agencies, the National Security Agency and the Government Communications Headquarters respectively, have access to the user data on BlackBerry devices. The agencies are able to read almost all smartphone information, including SMS, location, e-mails, and notes through BlackBerry Internet Service, which operates outside corporate networks and, in contrast to the data passing through internal BlackBerry services, only compresses but does not encrypt data. Documents stated that the NSA was able to access the BlackBerry e-mail system and that they could see and read SMS traffic. There was a brief period in 2009 when the NSA was unable to access BlackBerry devices, after BlackBerry changed the way they compress their data. Access to the devices was re-established by GCHQ, which has a tool named SCRAPHEAP CHALLENGE, with the capability of perfect spoofing of emails from Blackberry targets. In response to the revelations, BlackBerry officials stated that it is not for them to comment on media reports regarding alleged government surveillance of telecommunications traffic and added that a back door pipeline to their platform had not been established and did not exist.
The Cultural Icon And The Celebrity Endorsement
Former United States president Barack Obama became known for his dependence on a BlackBerry device for communication during his 2008 presidential campaign, and despite the security issues, he insisted on using it even after inauguration. This was seen by some as akin to a celebrity endorsement, which marketing experts have estimated to be worth between $25 million and $50 million. His usage of BlackBerry continued until around the end of his presidency. The device also became a cultural icon, with celebrities like Kim Kardashian and Katy Perry openly admitting their loyalty to the brand. Kim Kardashian reportedly said at the Code/Mobile conference that BlackBerry has her heart and soul and that she loves it, and she was afraid it would go extinct. She has since been spotted using an iPhone instead, but her initial loyalty highlighted the device's status as a symbol of status and connectivity. The BlackBerry was also used by notable figures such as E. L. James, who wrote Fifty Shades of Grey on her BlackBerry, and Nigerian author Stephen Buoro, who wrote the first draft of his debut novel on his BlackBerry. The device's influence extended beyond business and politics into the realm of popular culture, where it became a symbol of productivity and style.