BlackBerry Limited (BB - Free Report) recently announced that it has teamed up with Bullitt Group to provide cybersecurity technology to the latter’s select range of connected devices. Bullitt’s Cat and Land Rover branded smartphones will be deemed “BlackBerry Secure” as these will be protected by BlackBerry’s indigenous technology. The joint venture attempts to address the growing demand for high security smartphones and remote monitoring, among both consumer and enterprise customers.
Insight Into BlackBerry Secure and Bullitt Group
BlackBerry is a hard taskmaster. Instead of just developing and including security apps on phones, the company strives to provide security from the root level. The BlackBerry Secure software participates in the manufacturing of the device, introducing security keys to prevent tampering of hardware and software. Further, it encrypts the phone’s storage, provides monthly security updates and offers certain pre-installed apps to monitor the phone’s security.
Bullitt, a British company, manufactures durable phones for companies like Kodak, Caterpillar and Land Rover, and supplies to around 100 countries. With the power-packed combination of BlackBerry’s high-security software and Bullitt’s rugged and strong smartphones, the synergic partnership will ensure enhanced experience for users.
Boost to BlackBerry’s Business Strategy
After withdrawing from direct smartphone manufacturing, Blackberry gradually transitioned into a reliable software and services firm. This partnership, which follows BlackBerry’s deal with Swiss company Punkt signed earlier this year, has given an impetus to the company’s efforts to embed its technology into phones manufactured by others. It is likely to pursue more partnerships for BlackBerry Secure to enhance its portfolio.
In the past six months, the stock has outperformed the industry with a return of 8.2% against a decline of 13.8% for the latter. It remains to be seen whether the new deal will help the company to rake in more revenues.
Zacks Rank and Stocks to Consider
BlackBerry currently has a Zacks Rank #3 (Hold). Some better-ranked stocks in the industry space are Comtech Telecommunications Corp. (CMTL - Free Report) , sporting a Zacks Rank #1 (Strong Buy), Motorola Solutions, Inc. (MSI - Free Report) and Ubiquiti Networks, Inc. (UBNT - Free Report) , carrying Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Comtech has an expected long-term earnings growth rate of 5%.
Motorola has an expected long-term earnings growth rate of 8%.
Ubiquiti has an expected long-term earnings growth rate of 18.6%.
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