BlackBerry Sells ‘Legacy’ Patents for $600M

BlackBerry is making its go out from the cellular ecosystem reliable via agreeing to promote(Opens in a brand new window) patents overlaying cellular units, messaging, and different tech to Catapult IP Inventions for $600 million.

The corporate says this sale “is not going to have an effect on consumers’ use of any of BlackBerry’s merchandise, answers or products and services.” That is almost certainly no less than in part as a result of BlackBerry already discontinued lots of its legacy merchandise—together with its eponymous running machine—on Jan. 4.

Catapult is “a unique function car shaped to obtain the BlackBerry patent belongings,” consistent with BlackBerry, which says the patent purchaser is recently elevating the finances required to near this deal. That incorporates $450 million in money set to be paid when the deal is completed.

The remainder $150 million shall be paid out in $30 million installments beginning 3 years after the deal closes, BlackBerry says, assuming Catapult hasn’t defaulted on its mortgage. The corporate hasn’t stated what (if the rest) Catapult plans to do with the patents after the deal has closed.

BlackBerry says it will take as much as 210 days for the deal to be finalized. It additionally notes in its submitting(Opens in a brand new window) with america Securities and Change Fee that it may well pull the plug at the deal if Catapult does not protected the vital investment inside 90 days of the corporations’ settlement.