Marty Beard: Five Reasons Samsung’s Acquisition of Harman Means Great Things for QNX

"Since news broke of Samsung Electronics’ intent to buy auto infotainment and audio provider Harman for $8 billion, I’ve seen some inaccurate information floating around about what this means for BlackBerry and our market-leading real-time platform, QNX, with one commentator even claiming the Samsung and Harman tie-up could spell “doom” for BlackBerry QNX."

Marty Beard took to BlackBerry's own Inside Blogs to touch on the recent news of Samsung's acquisition of HARMAN for $8 Billion ($112.00 per share in cash). If you saw a SeekingAlpha post kicking around, don't bother touching it - you'll lose brain cells just reading it. Check out Marty's comments here:

Originally Posted On Inside BlackBerry Blogs:

1. QNX and Harman’s Excellent, Long-Standing Partnership

Many outside observers looking at the deal misunderstand the relationship between Harman and QNX. They are not potential competitors. Harman and QNX have been partnering for decades, cooperating on dozens of projects for automakers over the years. In fact, Harman is one of the biggest users of QNX, building many of their infotainment apps on top of our platform. That’s no surprise – Harman actually OWNED QNX between 2004-2010, before selling it to BlackBerry in 2010.

Similarly, the rivalry between Samsung and BlackBerry is overstated. The two companies cooperate today on key areas such as secure Android phones and spy-proof tablets fit for top-secret government use. These potential alliances will continue to grow as we keep pivoting away from manufacturing smartphones in-house to being a provider of the smart in the phone.

No wonder those in the know expect the Samsung-Harman tie-up to boost the popularity of QNX. “BlackBerry’s QNX is the likely winner here,” wrote ZDNet’s Larry Dignan. “[It] serves as the middleware to a lot of connected car efforts. QNX’s role as a neutral and secure platform in the vehicle will play well with Samsung and Harman.” And why is that?

2. BlackBerry QNX and Harman Are at Different Points in The Supply Chain

BlackBerry QNX is a Tier 2 provider to most carmakers. That means we sell our solutions to a wide variety of system integrators, including Harman, who then customize and resell those solutions to auto-makers. Our Switzerland-like status has helped QNX’s dominance – it’s used in more than 60 million cars, or half of the auto infotainment market, according to IHS Technology. Time Magazine says we are to “connected cars what Microsoft is to PCs.”

Our new, special relationship with Ford Motor doesn’t change our position in the auto supply chain. Nor will Samsung’s acquisition of Harman. Simply put, cooperation trumps competition. And there are good business as well as technical reasons for that…

3. QNX is a Superior Real-Time OS

In addition to being present in 60 million cars, BlackBerry QNX is used heavily by companies in high-speed rail, oil and gas, and nuclear power (here’s 35 examples altogether). To be used in these industries, BlackBerry QNX must meet a set of highly-exacting certifications (of which we hold more than 70). In cars, for example, our ADAS platform is one of the few available today that holds the key ASIL-D certification, making it immediately ready for carmakers to create self-driving cars on top of it.

QNX’s micro-kernel architecture was designed for real-time embedded systems. It fundamentally separates computing work and different processes from each other. That makes it much more stable (read: crash-proof) than other more monolithic operating systems such as Linux or Windows that were not designed ground-up for real-time. That is one of the main reasons Ford chose QNX over Windows.

Read The Rest Of The Post by BlackBerry COO Marty Beard By Clicking Here.


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