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Keeping Blackberry relevant in the age of iPhone

Published: Sunday, Feb 7, 2010, 0:59 IST
Agency: DNA

For many years smart-phones were synonymous with Blackberry. The device launched 10 years ago was initially aimed at enterprise users, enabling them to access their corporate email accounts on-the-go.

Today, with the lines between corporate users and normal consumers getting blurred, it is the iPhone and Android-based phones with their nifty innovations that are capturing our imagination.

Frenny Bawa, VP-India, Research In Motion, tells R Krishna how Blackberry aims to keep its nose ahead of this growing competition.

We are seeing a huge shift towards smart-phones. Who are the people shifting? And how is this shift changing the way you as a manufacturer think about smart-phones?
Smart-phone sales globally are rising. The expected increase in the number of smart-phones for 2010 in India itself is about 50 per cent. So the trend is global and [the growth] is rapid.
In the last 5-6 years we have globalised our operations. We have been in India since 2004. We have much more of a focus on what the Indian business and consumers are looking for today. Basically, we are following the trend of where the growth is.
Blackberry is associated with the enterprise. But with the launch of the Curve 8520, we received an incredible response from the youth segment. This phone was designed with India in mind - the social networking habits of the Indian youth, the love for music, etc.

If you take business needs out of the picture, does the Blackberry lose its edge?
Recently we announced our Q3 results. We added 4.4mn new customers and over 80 per cent of our new customers worldwide are from the consumer space. So I don't think it [Blackberry] loses its edge.
Blackberry provided connectivity on-the-go to the business person and it provides the same connectivity for any individual - not just from the email perspective, but connectivity to your kids wherever they may be through applications like the Blackberry Messenger or any of the other social networking applications available.

How will the new Blackberry operating system (OS) enhance user experience?
The recently launched Blackberry Bold 9700 has come out with the 5.0 OS. One of the reasons we are successful is that we have over 10 years perfecting the product. We focus on things like making the OS faster, more effective and efficient. In the 5.0 version there are many enhancements, but for the person on-the-go the significantly enhanced battery life is fantastic.

As a phone manufacturer what are the things you can do to encourage app development for your platform?
In India only recently have we begun to recruit and build on our Independent Software Vendor (ISV) programme. The response has been phenomenal. We have been able to make quick progress to attract a very qualified base of app developers in India. The skill-set of the Indian technology industry coupled with an increasing awareness and use of Blackberry in India is coming together beautifully.
As we go into markets like India, China or Indonesia, we know that for markets to embrace our product, we need to localise. With respect to India, we launched our applications store, App World, last year. We launched it with over half a dozen apps specific to India and it has been well received by users.

How significant is the buzz around mobile apps? Are they really that important to consumers?
Yes they are. Blackberry is a platform and a platform enables more functionality for the user. For example, I travel a great deal, but I am still able to do my banking. I know that my Visa bill is due on 5th of the month, but I am not at home to get my bill. So around 5th I log on to find out about my bill and pay, so that I don't have to bear interest charges. I think the more mobile we become the more our requirements change.
For an Indian, knowing the cricket score is like a lifeline. So yes apps are important, but not just for the sake of having hundreds or millions or however many number of apps. Our approach has always been to develop apps for which our consumers see use for.

How is your approach different from Apple's which has given 3rd party app developers a free hand and therefore have many applications on their App Store?
We have the IVC programme which the developer signs up to. We give them training, our development kit, and a lot of times we introduce them to our (cellular) operator partners.
For example, we launched the Pune Traffic Cop application. This was a special bringing together of a Blackberry alliance partner and the Pune police department and it has been one of the most exciting and well-received applications.

At one point of time Nokia and Blackberry dominated not just in numbers and brand value but also in innovation. Today, though you continue to dominate in numbers and brand value, the most exciting innovations seem to be happening in the Apple and Android space. What is Blackberry doing about this?

The smartphone market especially is exciting because it is growing so fast. And any market that is growing attracts a lot of entrants and it makes it better for everyone. You will have one manufacturer who will come up with something to catch people's imagination. And then the second one will come and leapfrog that. That's technology and it always happens. It is a snapshot in time.
But it is important to remember that we envisioned the smart-phone. If you take a look at our record then you know that there has to be a solid convergence between technology and market requirement and all the other business factors.

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