The handset revolutionised mobile phone technology when it was introduced in 1999 but its popularity was badly dented by the launch of Apple's iPhone in 2007 and has since lost out to Android phones as well as Microsoft's Windows device.
The Canadian handset maker has failed to lure consumers to buy its BlackBerry 10 devices, which were meant to reverse the fortune of the company.
The company announced that it will no longer make new versions of its slow-selling tablet device, The Playbook (pictured)
Blackberry stock rose last week on reports that it was mulling potential offers to take the company private. Today it announced that the board had formed a special committee 'to explore strategic alternatives' to boost take-up of its new technology
Consequently, BlackBerry has was forced to consider a sale or joint venture to survive and has chosen the sale option.
Ben Wood, analyst at CCS Insight, told The Financial Times: 'While clearly not the end of the story, BlackBerry in its current form has come to an end.'
'BlackBerry can't do it on its own any more - it was slow off the blocks when smartphones came out and closing the gap when Apple and Samsung have created such a formidable lead has proven impossible.'
BlackBerry revolutionised mobile phone technology when it launched in 1999
BlackBerry revolutionised mobile phone technology but its popularity was badly dented by the launch of Apple's iPhone in 2007 and has since lost out to Android phones as well as Microsoft's Windows device
Dismal second quarter results sent the company's share price tumbling in June as sales of its new smartphones working the new BlackBerry 10 operating system failed to meet expectations.
Mike Walkley, an analyst with Canaccord Genuity, said sales are getting worse even with price reductions for the new phones.
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'Now they have to go to the next step of what's best for the company and shareholders to survive long term because it doesn't look promising on BlackBerry 10 sales,' he said.
But the stock rose last week on reports that it was mulling potential offers to take the company private.
BlackBerry announced that the board had formed a special committee 'to explore strategic alternatives' to boost take-up of its new technology.
Thorsten Heins, president and CEO at BlackBerry holds up the new BlackBerry Q5
Thorsten Heins, president and CEO at BlackBerry (pictured) said that there were still 'compelling long-term opportunities' for its new phones and it was pursuing cost-cutting, efficiency and the launch of new technology
'These alternatives could include, among others, possible joint ventures, strategic partnerships or alliances, a sale of the company or other possible transactions,' it said in a statement.
Timothy Dattels, who will chair the committee, said 'the evolving industry and competitive landscape' meant it was the right time to explore such options.
Prem Watsa, chief executive of BlackBerry's largest shareholder Fairfax Financial, stepped down from the board 'due to potential conflicts that may arise during the process', the statement said.
Mr Watsa said Fairfax 'has no current intention of selling its shares'.
BlackBerry chief executive Thorsten Heins added that there were still 'compelling long-term opportunities' for its new phones and it was pursuing cost-cutting, efficiency and the launch of new technology.
Despite the launch of new phones, such as the BlackBerry Z10 (pictured), Research In Motion has announced losses of £55 million in the first quarter of this financial year
The announcement marks the second time BlackBerry has said it has hired bankers to help weigh its options since Thorsten Heins became CEO in early 2012. Its troubles come despite the launch of new phones, such as the BlackBerry Z10 .
To blackberry lovers out there, what are your views about this.
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