BlackBerry ready to reinvent itself with job cuts now over, says CEO in hopeful leaked memo
An internal memo sent to BlackBerry employees has leaked online, revealing the company is no longer in the middle of restructuring or cutting jobs and instead wants to move forward, hire new talent, and even make acquisitions.
According to Reuters, which obtained the leaked memo, BlackBerry has reduced its workforce by roughly 60 per cent over the last three years as it struggles to rival Apple's iPhone and Google's Android operating system, but things are finally looking up for the Ontario-based company. John Chen, the CEO of BlackBerry, reportedly told employees via the leaked memo that the much-publicised "restructuring notification process" has just completed.
"More importantly, barring any unexpected downturns in the market, we will be adding headcount in certain areas such as product development, sales and customer service, beginning in modest numbers," said Chen, who stressed there was "no margin for error to complete BlackBerry's turnaround to success" and asked that existing employees maintain their focus as BlackBerry prepares upgrades to its device management system and new Passport and Classic devices for this autumn.
Chen became BlackBerry's CEO about eight months ago. He is well-known as an businessman who specialises in company turnarounds, and as of late, he has quickly sold off BlackBerry's non-core assets, strengthened manufacturing and supply chain relationships, and sold real estate holdings in Waterloo to raise cash. He now plans to focus on BlackBerry's strengths like mobile data security and mobile device management.
In fact, Chen believes BlackBerry will meet its goal of being "cash flow positive" by the end of the current fiscal year, according to Reuters. BlackBerry is even able to make strategic acquisitions in order to boost future revenue growth. Just last week, for instance, BlackBerry acquired a company, called Secusmart, that focuses in voice and data encryption. Chen therefore claimed in the memo that BlackBerry has the right team and organisation to finally tackle its business strategy.
That's certainly a positive note - especially coming from a handset maker often described as "fledging" in recent years.