BlackBerry to stop making its own handsets after falling behind rivals like Apple & Samsung.

Blackberry is to stop designing its own smartphones after falling behind rivals firms including Apple and Samsung.
The Canadian firm that helped pioneer the smartphone market, said today that it will stop making handsets, outsourcing production to an Indonesian partner.

The company, famous for making phones with a physical keyboard, has struggled to keep pace with rival companies and the growing popularity of touch screen technology.
Handsets with the BlackBerry name will be produced under license by PT Tiphone Mobile Indonesia Tbk, allowing the Canadian firm to concentrate on software and services, a statement by the firms said.

BlackBerry will take a royalty on devices sold by the Indonesian firm.

'We are reaching an inflection point with our strategy. Our financial foundation is strong, and our pivot to software is taking hold,' said chief executive John Chen, pointing to a doubling of software revenue over the last financial year, reports AFP.

'The company plans to end all internal hardware development and will outsource that function to partners. This allows us to reduce capital requirements and enhance return on invested capital,' said Mr Chen.

BlackBerry, which a decade ago was among the largest smartphone makers, has seen its global market share slip to less than one percent amid domination by Apple and Android devices.

As the market shifted, BlackBerry has shifted its focus to software, including security applications, and the latest announcement takes the company out of the handset market entirely.