Blackberry ends its relationship with T-Mobile U.S.

Despite huge losses in previous quarters, Blackberry has announced that they will not renew their product sales agreement with T-Mobile US. What this means is that when the existing contract ends on April 25, 2014, T-Mobile will no longer be able to order new devices from Blackberry. Blackberry has pledged to continue to support T-Mobile customers with past, current, and future purchases. 

Blackberry is also working closely with other wireless carriers to provide options for clients that would like to transfer their personal or business accounts to a supported carrier. While the site doesn't detail how Blackberry will support these clients, Blackberry does offer a link to its products and supported carriers. 

Blackberry CEO, John Chen states:

BlackBerry has had a positive relationship with T-Mobile for many years.  Regretfully, at this time, our strategies are not complementary and we must act in the best interest of our BlackBerry customers.  We hope to work with T-Mobile again in the future when our business strategies are aligned, We are deeply grateful to our loyal BlackBerry customers and will do everything in our power to provide continued support with your existing carrier or ensure a smooth transition to our other carrier partners.

At the time of publishing, T-Mobile had not issued a response to Blackberry's statement. 

Source: Reuters via BlackberryImage via Blackberry 

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14 Comments

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Did the author of this mean to write BlackBerry as "Blackberry" over and over?

Blackberry = fruit, BlackBerry = company/device.

T-Mobile is becoming less of a "business user" carrier.. therefore there is little demand for corporate clients on their network.. Goes with T-Mobile ending their corporate discounts as well.

M_Lyons10 said,
How bizarre...

Not really ... it is actually a very strategic & brilliant move by BlackBerry. I was discussing this with a friend yesterday. The CEO John Chen knows what he is doing. This strengthens their existing relationships with their bigger carriers & by "dumping"" T-Mobile first instead of being "dumped it gives a perception (rightly or wrongly) that they are decisive, strong, etc

IT@Whitney said,

by "dumping"" T-Mobile first instead of being "dumped it gives a perception (rightly or wrongly) that they are decisive, strong, etc

Riiiiight. Because nothing says "strong" like losing one of the only four viable mobile carriers in the US...and the one carrier that is gaining users by the millions at the expense of all of the others. /s

Ahem.

M_Lyons10 said,
How bizarre...
Looks like everyone forgot or is ignorant of what directly lead to this. T-Mobile was the one that pi**ed BB off by telling all their BB users to get an iPhone 5s instead. Is it any wonder BB is dumping a carrier that would do this? What would be the point of sticking with them at this point after they pulled this sort of stunt? http://www.neowin.net/news/bla...-targeted-blackberry-owners

This is true but you have to wonder if it wasn't done on purpose. If I were trying to cut costs, I would no longer have a contract with a big name manufacturer if they weren't doing anything for the bottom line. Blackberry still has brand recognition but how many corporate subscribers (that haven't migrated) do you think T-Mobile has or could even bring in?

Davo said,
This is true but you have to wonder if it wasn't done on purpose.
Maybe, but come on, that's not the way to professionally manage a corporate relationship and T-Mobile should have had more sense. Tomorrow just suppose BB takes off again and is in great demand with T-Mobile's users, the latter will probably have to go crawling back to them and perhaps even take a hit in profits somewhere in order to try and mend fences. There are better ways of amicably terminating a business relationship that has run its course.

The T-Mobile CEO is a little unconvential so I'm guessing he just told them to stick it if they wanted to continue on the same terms. Blackberry wants to be seen as a viable option but that's no longer the case here in the States.