BlackBerry Ltd shares advanced after the struggling smartphone maker announced a management-services partnership with rival Samsung Electronics Co., the first time the companies have teamed up for a major product.
The stock increased 7 percent to $12.06 at the close in New York, the highest price since June 2013. Samsung’s Knox system, which offers a suite of secure work applications, will run on BlackBerry’s new server, known as BES12, the companies said in a statement today.
BlackBerry held an event today in San Fransisco to unveil the server, which helps businesses manage devices and communicate securely. The partnership competes with an alliance between International Business Machines Corp. and Apple Inc., whose announcement in July sent BlackBerry’s shares down 12 percent in one day. BlackBerry is now teaming up with one of its biggest rivals in the growing mobile device management market.
“People probably didn’t expect to see these two companies on the same stage, at least not willingly,” John Sims, head of BlackBerry’s enterprise services business, said at the event. “We need to be able to provide a breadth of choices and do that with companies of the highest level.”