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BlackBerry to buy messaging alerts firm AtHoc to expand software base

Published 2015-07-22, 08:00 a/m
BlackBerry to buy messaging alerts firm AtHoc to expand software base
BB
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By Euan Rocha
TORONTO, July 22 (Reuters) - BlackBerry Ltd BBRY.O said on
Wednesday it is buying privately-held AtHoc, a provider of
secure, networked crisis communications, as it moves to broaden
its software offering and generate revenue from its BBM
messaging service.
San Mateo, California-based AtHoc's services are used by a
number of top clients including the U.S. Department of Defense,
Homeland Security and a host of blue-chip companies, to provide
software that seamlessly allows them to reach staff via their
smartphones, or via digital displays, radios, and even sirens,
in times of crisis. Its services help organizations and people
share information during business continuity and rescue efforts.
The terms of the transaction, which is expected to close by
November, were not disclosed.
"AtHoc is an alerts system, but it also needs richer content
and that can be provided by BlackBerry Messenger (BBM), which
offers not just text, but voice, picture and video sharing, so
we can provide a much richer experience to their clients," said
BlackBerry Chief Executive John Chen in an interview.
The deal is the latest in a string of acquisitions made by
the smartphone pioneer, as it pivots to focus more on software
and turn around its faded fortunes.
Earlier this year, Chen said he saw a part of the company's
targeted software revenue growth in the current fiscal year
coming from acquisitions of companies that will allow it to sell
more value-added services.
In April, Waterloo, Ontario-based BlackBerry announced plans
to acquire privately-held software maker WatchDox, which secures
files. Its services are used by some of the world's top federal
agencies, private equity firms, and a slew of Hollywood studios.
This followed last year's buyout of Secusmart, a German firm
that specializes in voice and data encryption and British tech
start-up Movirtu, whose software allows users to have two phone
numbers on the same device with a single SIM card.
"AtHoc, with its messaging alerts, is the next piece in the
puzzle," said Chen, noting that the firm has some large marquee
clients that compliment BlackBerry's own customer base.
The acquisitions made so far have helped BlackBerry ramp up
its portfolio of services that cater to the needs of its core
base of clients, such as corporations and government agencies.
"Becoming part of BlackBerry will give us the ability to
scale more quickly to expand our global reach and introduce new
applications for the AtHoc platform," said AtHoc CEO Guy Miasnik
in a statement.

(Editing by Muralikumar Anantharaman)

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