The story of how and why BlackBerry collapsed in record time

It was Canada’s most valuable company. It dominated corporate telephony with an iron fist, to the point where it seemed impossible to work without its devices. Executives, governments, and large companies relied on them daily. And yet, BlackBerry collapsed in record time, disappearing from the map. There was no way to revive it.

We are talking about RIM (Research In Motion), although the world remembers it by the name of its flagship product: BlackBerry. If you are not part of Generation Z, you will remember those smartphones with physical keyboards that became a symbol of productivity, modernity, and professional status.

From Absolute Leader to “CrackBerry”

The Birth of a Corporate Addiction

In the early 2000s, when the iPhone did not yet exist and the market was dominated by Nokia and Palm PDAs, Mike Lazaridis and Jim Balsillie introduced a key innovation: an integrated physical keyboard and, above all, a data plan linked to the device.

BlackBerry enabled something revolutionary at the time: being constantly connected to email. Although it worked on 2G networks, it was enough to change the way people worked. The result was an overwhelming success.

The dependency was such that users could not separate from the device. Hence the term “CrackBerry”, a play on words comparing its compulsive use to an addiction. The corporate market was captivated… but the world was about to change.

The Turning Point: Ignoring the Consumer

The iPhone and Android: The Mistake That Changed Everything

In 2007, the iPhone arrived. Soon after, Android. BlackBerry made a mistake shared by other brands—but it paid more dearly: it thought they were just phones.

The company relied on its physical keyboard to beat touchscreen devices, underestimated the power of design, ignored the potential of app stores, and clung to a proprietary operating system. When it reacted, it did so late and poorly, with uncompetitive devices such as the BlackBerry Torch.

Android expanded unprecedentedly, while BlackBerry remained closed to integration. BB10 arrived too late and without sufficient support from developers or users.

Strategic Decisions That Accelerated the Failure

Mistakes That Destroyed Competitive Advantage

1. The BlackBerry PlayBook Disaster

An expensive, poorly designed tablet with no clear market and absurd dependencies, like the mandatory connection to a phone. It was an immediate failure that eroded investor and shareholder confidence.

2. Charging for Email

BlackBerry believed its “ultra-secure” email would justify a premium. But the market showed that users were unwilling to pay for something others offered for free with only a few seconds’ difference. Extreme security interested very few.

3. Out-of-Market Design and Features

It was not until 2013 that a truly attractive device was launched: the Z10. It arrived six years late, with inferior specifications, unoriginal design, and a price fit for market leaders… when it was no longer one.

4. Dependence on Carriers

BlackBerry relied entirely on its relationship with operators and neglected consumer marketing. While Apple and Samsung captured the end-user market, BlackBerry continued speaking only to enterprises and carriers.

Corporate Culture and Ego: The Invisible Enemy

Success acted like a drug. The dominant position generated ego, slowness, and resistance to change. Decisions were delayed, strategic vision fragmented, and the company reacted instead of leading.

This cultural collapse was so deep that it inspired the book Losing the Signal, later adapted into a movie showing how a company can lose its way when it confuses past success with future invulnerability.

Business Lessons from BlackBerry

  1. Success does not protect against failure.
  2. Ignoring the consumer is lethal.
  3. Innovating too late is equivalent to not innovating.
  4. Corporate culture can sink a company.
  5. The market changes faster than organizations.

ENEB: Learning from Mistakes Before Making Them

At ENEB, we analyze cases like BlackBerry to train leaders capable of anticipating change, making strategic decisions, and avoiding mistakes that have destroyed multi-million dollar companies.

Our programs are designed to develop vision, critical thinking, and adaptive leadership in an increasingly volatile business environment.

BlackBerry did not disappear due to a lack of technology or resources, but due to a lack of adaptation. It was a victim of its own success and an inability to evolve with the market.

Its story is a clear warning: no company is safe from failure if it stops questioning itself. For more cases of companies that were once successful but failed, we encourage you to read the Yahoo Case Study.

Why Dubai is the new international business hub

In recent years, Dubai has evolved from being merely a regional business center to becoming an international hub for startups and business expansion. Thanks to its unique combination of capital, talent, technological infrastructure, and regulatory support, the city has positioned itself as an ideal location for companies from around the world to launch their global operations.

This article analyzes how Dubai has become a springboard for innovative companies, exploring specific cases and the strategic advantages it offers for international expansion.

From regional center to global hub

Dubai has undergone rapid transformation. What began as a center for trade and tourism in the Gulf has become an ecosystem that attracts talent, financing, and strategic partners from around the world. The city offers world-class infrastructure, favorable regulations, and connectivity to key markets in Europe, Asia, and Africa, enabling startups to scale quickly without losing agility.

Its geographic location also plays a key role: the city is in a time zone that effectively connects the MENA region with Europe, Asia, and Australia, facilitating real-time international operations.

Success stories: companies using Dubai as a springboard

Supy: innovation in the hospitality sector

Supy is a startup that develops internal management platforms for restaurants. Its founder, Dani El Zein, started the project after experiencing cost control issues in his own restaurant. Dubai became the ideal platform to launch and expand Supy due to:

  • A demanding and diverse gastronomic ecosystem.
  • Connection to international markets without the need for significant adjustments.
  • Access to key technology partners.

Supy currently operates in the MENA region, the United Kingdom, and Australia, and plans to expand to Hong Kong, demonstrating how Dubai facilitates international scalability.

Huspy: disruption in the real estate sector

Huspy, a Dubai-based proptech company, is transforming the way homes are bought and financed, combining technology, transparency, and empowerment of real estate agents. The choice of Dubai as its headquarters was strategic:

  • Positioning as a global center of innovation.
  • Favorable regulatory environment.
  • Connectivity with EMEA and European markets.

Huspy currently operates in 10 cities in the United Arab Emirates, Spain, and Saudi Arabia, with plans to expand to more than 100 cities in the coming years.

Stake: democratizing real estate investment

Stake allows investors to purchase fractions of properties, facilitating access to high-quality real estate in Dubai and beyond. The company has leveraged:

  • Clear regulations and government support.
  • Advanced technological infrastructure.
  • Global investor base.

Its expansion includes Saudi Arabia and the United States, demonstrating how Dubai can serve as a launchpad for complex international markets.

Strategic advantages of Dubai for global companies

  1. Access to international capital and talent: Although the ecosystem is still developing, local and international capital and talent are converging, creating unique opportunities for startups.
  2. Global connectivity: The location and time zone allow companies to operate on multiple continents from a single headquarters.
  3. Favorable regulatory environment: Clear regulations and institutional support facilitate the creation of companies with global ambitions.
  4. Rapid scalability: The combination of technological infrastructure and partner networks allows for frictionless expansion.
  5. Culture of innovation: The competitiveness of the local market drives efficiency, creativity, and operational discipline.

ENEB and training in international business

At ENEB, we understand that to take advantage of opportunities such as those offered by Dubai, business leaders need strategic training and global skills. Our programs are designed to prepare professionals in international management, startup expansion, and business leadership, ensuring that they can successfully identify and capitalize on emerging markets.

Conclusion

Dubai is establishing itself as a global springboard for companies seeking international expansion. Its strategic location, favorable regulations, global connectivity, and innovative ecosystem make it an ideal starting point for startups and established companies. If you want to learn more about business expansion in Dubai and its global ecosystem, we recommend this Forbes article.

For any company that wants to grow beyond its borders, establishing itself in Dubai not only means a presence in the Gulf, but also efficient and scalable access to international markets, making it a true global hub of innovation and opportunity.