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Blackberry shares tumble after it posts losses

Blackberry shares tumble after it posts losses

Blackberry’s stock plummeted recently losing $2billion of value after the smartphone maker posted shock losses.

Blackberry recently joined the smartphone revolution with its own handset and while analysts expected the phone giant to post modest profits for the financial year, it instead announced a loss of nearly $170m, completely missing its sales targets.

Blackberry has worked tirelessly over the last year and a half to open up its handsets for email usage and to be able to host popular apps like twitter and eBay.

However, the new handsets, the Z10 and Q10 failed to live up to expected sales figures and instead only 2.72 handsets were sold in the first four months, which is a slight improvement on last quarter.

Overall, estimates suggested that 8m handsets would be sold to consumers who would stick with the firm despite connectivity and build issues with their previously released handsets.

In reality though, only 6.8m people liked the new phones enough to part with their hard earned cash.

It was hoped that the new phones along with marketing ploys like Alesha Keys signing up as a brand ambassador, would mean the company would be able to rival Samsung and Apple once again.

Unfortunately, the shock sales results and resulting losses meant that Blackberry shares crashed by more than a quarter in just three hours, meaning it has wiped out any growth gained since January.

This is a blow not only to the company but to the loyal customers who appear to be backing the wrong horse in the smartphone race.

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