BlackBerry device units of 1.6M, up 25% q/q and down 76% y/y missed our arguably optimistic 2.52M est based on Z3 sell-in for Devices rev of $377M.
BlackBerry Messenger – BBM
Management expects another stair step once BBM comes loaded on Nokia Lumias and guided to $100M in BBM related revenue for FY16, from enterprise sales, ads, and some consumer upsell. We believe this is a lofty target as the company struggles to find a sustainable and profitable business model going forward, especially as it likely relies on enterprise users that now total just 10M. On the consumer side, we continue to believe Blackberry likely has a difficult time monetizing its ~85M BBM monthly active user (MAU) total sub base that barely