[curves2000]

Hi all,

Just wondering what people's thoughts are best guesses on how warranty and service support will work?

BlackBerry announced no more internal hardware division and said "less than 100 jobs" will be affected. Mostly in warranty, support and such.

Who will be doing the warranty work and other stuff for returned devices? I had figured that BlackBerry had already outsourced this but I guess not.

Posted via CB10

[Bla1ze]

What do you mean work? It'll likely work the same way it does now.

[ronfc]

I had figured that BlackBerry had already outsourced this

They only outsourced the manufacturing of the devices. For example, Apple devices are made by Foxconn. If you have a faulty device, you don't send it to Foxconn, you send it to Apple.

[bb10adopter111]

Companies have to reserve sales revenue for warranty service, which can't be recognized until the liability has been fulfilled.

There will likely be no problem with warranty service, as it is funded by past sales.

Posted via CB10

[cgk]

They only outsourced the manufacturing of the devices. For example, Apple devices are made by Foxconn. If you have a faulty device, you don't send it to Foxconn, you send it to Apple.

You are right about current phones (including the Dtek60 and the Mercury if it arrives) but after that Blackberry will have nothing to do with branded phones - that commercial relationship is between you and the company with the license.

Let's say that in the US, Blu license the BBRY name, if there is a fault with that device, you will contact Blu, it's nothing to do with BBRY.

Take Indonesia:

we have nothing to do with the JV, we are not part of the JV. We are licensing our technology and brand to this JV.

The JV was set up - the JV partners are not only the distributors of telcos and the telephone companies in - a number of them by the way is just led by this particular organization called Tiphone, which is the largest I guess holding - holders of the JV.

The JV is actually an Indonesian entity, developed and put together by them, specifically focused on BlackBerry and distributing BlackBerry handset in Indonesia. All we did was we licensed this JV our brand and the - and all the software. So that’s number one. Before I move on that that’s clear, right, I mean, okay. So therefore it’s definitely above the line not below the line because we are no partner to JV.

This is compounded by the fact that BBRY doesn't force the licensee to take the security they offer:

some of the hardware security features, we will either license and provide to the third party we talk about, some might not take it.

BBRY isn't going to accept any liability for BBRY branded handsets licensed by a third party that turn out to full of malware - that's between you and the licensee.

[bb10adopter111]

BBRY isn't going to accept any liability for BBRY branded handsets licensed by a third party that turn out to full of malware - that's between you and the licensee.

Absolutely correct. Well explained.

Posted via CB10

[Adif_701]

Lot of confusion on here.

If the phone has a BlackBerry logo on the back of course they will warrant it.
If it's a keyboard licensed or other part then the warranty would naturally go through the partner and then the partner would deal with BlackBerry in the back ground. I am surprised the banter about this when it's rather clear.

Posted via CB10 on my PP

[cgk]

Lot of confusion on here.

If the phone has a BlackBerry logo on the back of course they will warrant it.

No they will not be - go and listen to the earnings call.

Why would BBRY warrant a phone that is made by a third party using their brand. You have no legal relationship with BBRY if you buy one of the licensed phones, none.

If the phone breaks - nothing to do with BBRY
If there is an issue with the software - nothing to do with BBRY*
If the phone explodes due to faulty battery - nothing to do with BBRY.

The legal relationship that exists is between BBRY as the licencor and the other company as Licencee - you have no part of that relationship.



* although the licensee might wonder what they are paying for.

[curves2000]

Here is what I am referring to as an example.

BlackBerry is still selling BlackBerry 10 devices, Priv's etc through their website. Since they still have inventory I suspect it will be a few more months before it's down to 0.

Those devices carry a 1 year warranty.

BlackBerry has indicated that warranty support, repair staff etc will be laid off with the transition to the new manufacturing model.

If the new SE Passport I purchased needs work and I send it to BlackBerry, who is going to be doing the warranty work?

That's what I was wondering.

Posted via CB10

[JeepBB]

Here is what I am referring to as an example.

BlackBerry is still selling BlackBerry 10 devices, Priv's etc through their website. Since they still have inventory I suspect it will be a few more months before it's down to 0.

Those devices carry a 1 year warranty.

BlackBerry has indicated that warranty support, repair staff etc will be laid off with the transition to the new manufacturing model.

If the new SE Passport I purchased needs work and I send it to BlackBerry, who is going to be doing the warranty work?

That's what I was wondering.

Posted via CB10

BB's warranty on their (existing) devices puts BB on the hook and they are legally bound to honour it. It is entirely possible for BB to sub-contract that warranty work to someone else - IIRC my PlayBook return went to some German 3rd party company, but BB paid for everything under the warranty agreement. And I'm sure they still will.

But, as CGK has said, any future phone built under licence ... the warranty is between you and the licensee. And if that licensee is some cheapo, low-end maker... good luck with that.

[Adif_701]

I do agree with these assessments but I think we need to agree that BlackBerry would have an interest in quality if they are footing bill. No different in any business. They just will not license their products or parts willy nilly and not have any concern/say about quality. That would be business 101.

Posted via CB10 on my PP

[cgk]

I do agree with these assessments but I think we need to agree that BlackBerry would have an interest in quality if they are footing bill. No different in any business. They just will not license their products or parts willy nilly and not have any concern/say about quality. That would be business 101.

Posted via CB10 on my PP

TLDR: If your Kodak TV breaks and you ring Kodak, they will hang up on you.


You are mixing up two different things, the legal relations and the guidelines to control minimum quality. They are not footing the bill - this is the whole point of the move.

Let's break this down with Acmetech - Latveria's 10th biggest hardware maker.

1) Acmetech meets with BBRY - it can meet their licensing guidelines and the minimum quality standards that BBRY outlines. It agrees to pay BBRY a licensing fee for each unit sold.

2) Acmetech builds a smartphone called the Blackberry Bong. The bong includes the hub and other software included in the license. it says Blackberry on the back of the phone. It does not include any extra security because Acmetech don't want to pay for it.

3) Acmetech sells 100,000 units of the bong. BBRY's only responsibility is to cash the small royalty cheque.

4) Victor buys an Blackberry Bong. Victor has no legal relationship with Blackberry NOR with any other licensee such as Krong Electronics who in a neighbouring country sell the Blackberry Securo.

5) Victor finds one day his bong doesn't work. Every time he leaves messages on his 'friend' Reed's answer machine, the microphone cuts outs. His only recourse legally* is to a) contact the carrier who sold it to him (the retailer) or if they are not available, the manufacturer - b) in this case Acmetech. Victor has no relationship with BBRY.

6) Victor uses his doombots to flatten Acmetech's factory.


* in most countries.