BlackBerry announced that it will be publishing an open letter on Tuesday explaining the “challenging times” of the company.
Days after Gartner, a research firm, have advised customers to opt for other smartphone brands, Blackberry Limited drafted a letter addressed to its patrons.
In the open letter that is to be published on Tuesday, Blackberry Limited acknowledged that the company is facing “challenging times”. However, the company added that they are taking necessary steps to address the issues.
The letter says, "These are no doubt challenging times for us and we don't underestimate the situation or ignore the challenges.”
"We are making the difficult changes necessary to strengthen BlackBerry."
In this year’s April to June quarter, BlackBerry Ltd. has made a huge net loss of $965 million. The company has decided on a $4.7 billion sale deal, BBC reports.
The company has settled in principle to be acquired by a consortium led by its hugest shareholder, Fairfax Financial.
The Canadian firm, that was once the leader in the smartphone industry, now strives to retain its market shares in spite of the growing rivalry from competitors like Samsung and Apple.
The company recently unveiled new smartphone models hoping to lift the company’s revenue. Unfortunately, even those new products failed to aid in the company’s recovery.
BlackBerry’s financial struggles reached a crucial stage this year after its new BlackBerry Z10 smartphone flopped and earned disappointing sales.
Its poor sales prompted the company to write off $934 million in the April to June quarter of this year to account for the loss.
The company also announced in September its strategic plan to cut its workforce by 40 percent, equivalent to 5,000 employees by end of 2013. The move is expected to reduce the company’s expenses by 50 percent.
The letter also stressed out that the company has “substantial cash on hand and balance sheet that is debt free.”
