BlackBerry Unveils Software For Internet-Connected Vehicles

BlackBerry Ltd. (NASDAQ:BBRY) , the company that once dominated the smartphone market, recently unveiled innovative software - QNX Hypervisor 2.0 - for running complex computer systems on Internet-connected cars. The software will help in running complex computer systems in vehicles to make it more secure from hacking.

QNX Hypervisor 2.0 is compatible with the Snapdragon 820Am automotive processor developed by the mobile chipset behemoth Qualcomm Inc. (NASDAQ:QCOM) . Integration with Snapdragon will put together multiple systems on a single platform. This will reduce hardware complexity for car manufacturers to a great extent.

Without naming any particular car marker, management stated that several companies have started incorporating the new software into the computer systems of vehicles. Notably, BlackBerry has an existing deal with Ford Motor Co. (NYSE:F) for expanded use of QNX and other security software. The company's QNX software has been deployed in over 60 million vehicles. Ford's SYNC 3 Infotainment system also has BlackBerry's QNX software installed in it.

The connected vehicle market is gradually developing into a major growth area for large telecom and technology firms. Apart from Blackberry (TO:BB), U.S. telecom giants AT&T Inc. (NYSE:T) and Verizon Communications Inc. (NYSE:VZ) have a strong presence in this field. The connected vehicle market will get a major boost from the upcoming 5G wireless standards.

Price Performance of BlackBerry

Year to date, BlackBerry is having a dream run in the stock market. The stock price is up a massive 60.23% compared with a 13.15% gain of the Zacks categorized Wireless Non-US market. However, with increasing global exposure, BlackBerry does face the risk of adverse foreign exchange fluctuations. Additionally, Brexit and macroeconomic pressures have increased volatility in currency markets and might have a negative impact on the company’s operations. These are primary reasons that the stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

3 Top Picks to Ride the Hottest Tech Trend

Zacks just released a Special Report to guide you through a space that has already begun to transform our entire economy...

Last year, it was generating $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for those who make the right trades early. Download Report with 3 Top Tech Stocks >>