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The business model that drives BlackBerry to get away from the red numbers

BlackBerry, the once giant of smartphones, wanders in a complex process of restructuring, after losing more than 90% of its value in the stock market in the last five years. The arrival of the iPhone in 2007 and the expansion of Android impacted the BlackBerry business. In mid-2008, the stock was priced at US $ 147. In addition to heading the Nasdaq, the market capitalization exceeded US $ 77 billion.


The presidential election in the US was a tremendous contribution to the brand, because the candidate for the White House, Barack Obama, recognized that without his BlackBerry he was lost ??. They were moments where the most powerful man in the world did not skimp on recognizing his addiction to the Qwerty keyboard apparatus.


While Apple’s iPhone offered design and innovative capability, which was accompanied by a successful marketing strategy, BlackBerry disregarded this irruption.


In mid-2008, the market began to turn its back on the firm. Between June and December of that year, the action of the technology fell from US $ 147 to less than US $ 40. In part, the decrease was explained by the release of Android, which took place in the last quarter of 2008.

With the emergence of Google’s operating system, even the smallest phones had something to say in the market. The industry was even more complex with a Nokia that began negotiations with Windows for the creation of a new platform for mobile phones. With the appearance of free applications, the hallmark of the Canadian firm, the BlackBerry Messenger, was replaced by WhatsApp, losing another added value.


Despite the market power it lost, finances did not suffer dramatically, at least until 2012.


Last year, at 11 Wall Street, analysts were already discussing the end of BlackBerry, but from Waterloo executives had another idea: to relaunch the brand and business model.

The process began with the resignation of its executive presidents, Mike Lazaridis (founder) and Jim Balsillie, in search of a reorganization. This would come from the hand of the new CEO, Thorsten Heins.


The first measure of the new administration was announced on January 30 and was to change the name of the firm Research In Motion (RIM) for its flagship product: BlackBerry.The second announcement that day was the launch of the Z10, the new BlackBerry PGP, which seeks to be the standard for a company that does not want to disappear. The new model takes the trend of touch screens over the physical keyboard and points to user interaction.


BlackBerry has ensured that sales of the Z10 are above expectations and, according to analysts who follow the firm, the emergence at the end of April of the Q10, model with Qwerty keyboard, has had a good reception in the market.


Juan Cardona, director of BlackBerry for the Southern Cone, explains that the new phones will boost the operating system, which includes a duality platform that allows work and leisure to be separated in the use of mobile phones.This initiative seeks to empower companies to choose BlackBerry for their workers and they will benefit from being able to separate the work contents from the personal ones.


Cardona indicates that negotiation with telephone providers is important in the new strategy, since the accessibility that these may have with the firms, or even governments that hire these devices, can be the difference. Therefore, something is clear: BlackBerry will continue to target the corporate world, where a few years ago it managed to be synonymous with success.