Anticipated by many to take the market by storm and become BlackBerry's Hail Mary pass, the company's reengineered 10 OS platform has been relegated in smartphone seekers' minds - as Nokia, Samsung, Apple, Sony and even Huawei trump BlackBerry in terms of value.
This is according to analysts, who say - while BlackBerry is not out of the race completely - the company will have to address the pricing of its new line of devices if it is to compete effectively in the smartphone market, especially a strongly price-sensitive one like SA.
This comes amid the company's poor quarterly results, which saw the Canadian smartphone maker's share price plummet by 28% last week - and an uninspiring uptake of its flagship Z10 and Q10 devices.
Furthermore, and analysts say tantamount to a nail in the coffin, the Q5 - positioned by BlackBerry to be what the Curve was to BlackBerry 7 OS and designed specifically for emerging markets - entered the local market with a price tag of around R5 000 last month.
World Wide Worx MD Arthur Goldstuck says BlackBerry's price point could be the company's Achilles heel. "It is hard to argue that BlackBerry doesn't have to compete on price and we certainly haven't seen any attempt to compete on price.
"The company has created great devices and a great new operating system, but it has ignored the issue of having to compete on price. More than appeal and operating system, the company has to get its pricing right if it wants to compete, especially in a price-sensitive market like SA."
Vying for value
Goldstuck points out that a number of devices that have hit the market - or are on the horizon - from the likes of Nokia, Samsung and Huawei offer better value to consumers looking to get their hands on a new smartphone.
"Huawei has just launched a new low-cost phone [Ascend G510] - and then there is the Samsung S4 Mini coming up, and even Nokia has new low-end Lumias, as well as the high-end Asha. All of these are very appealing options."
He says what BlackBerry is essentially doing, is opening the door for Nokia to come back into the market segment BlackBerry has operated in over recent years, thanks to pricing, in SA.
"BlackBerry is also giving the youth a good reason to start looking at Samsung instead. The Q5 is not as sexy as marketing would have us believe. The phone is very plain-looking, and unless people are buying it for the funky colours it really doesn't have the appeal other smartphones on the market do.
"And it is not a successor to the Curve, as the Q5 has been positioned. You would have thought BlackBerry would come up with a funky new phone, but it is the most plastic phone I have seen from BlackBerry in a long time. The Q10, on the other hand, does not just look like a cheap version of the Bold - but there again, the pricing is an issue if you consider it is a high-end device priced the same as Apple and Samsung's top end devices.
"BlackBerry will have to sharpen their pencils."
Lacking local appeal
Ian Duvenage, head of ICT growth at Frost & Sullivan, echoes Goldstuck's sentiments around BlackBerry's price point, He says it is "worrying", especially when one considers the company is trying to compete with smartphone giants Apple and Samsung, in particular with the Z10 and Q10 devices.
"SA is a different market - it is based on low-cost of ownership and the introduction of these high-end devices is putting the company so far back that I think it will be hard for it to recover. The Z10, for example, has not been taken up in SA as BlackBerry had hoped it would.
"The very low cost of ownership that BlackBerry brought to the local market previously was how the company won market share. That, and the packages operators were able to give consumers."
Duvenage also cites the examples of Nokia and Samsung, saying the manufacturers are making smarter moves in the local market. "If you look at the new devices other smartphone makers are bringing to the market, the companies are looking at different aspects that appeal as well. Nokia has unveiled a budget phone with 48 hours of standby battery life, for example.
"On the other hand, what BlackBerry is doing is dropping functionality and quality, and pushing phones into the market."
He says it is unlikely the Q5 will cut it for BlackBerry. "A smart move would be to release a new device, but on the old operating system, for the old BlackBerry-loyal market. The prepaid and middle market is big in SA."
Mike Sharman, owner of digital communications agency Retroviral, says: "BlackBerry has unfortunately been relegated to the back of the pack in terms of the smartphone wars."
Sharman says the unique selling points of BlackBerry Messenger and BlackBerry Internet Services have been eroded by cheaper data packages available on Android and iOS devices, and the aspirational brand qualities that the likes of Samsung have applied to the market.
"BlackBerry has opted for a walled garden strategy and has ultimately shot itself in the foot."
Sticking to its guns
Industry observers say BlackBerry faces a grilling by investors at its annual meeting today. Reuters says some investors are even backing the idea of the sale of BlackBerry - either as a company, or a sale of parts.
But BlackBerry CEO Thorsten Heins is adamant the company is on the right track, and says it just needs more time. Heins says BlackBerry intends to stick to its strategy, and will unveil more 10 OS devices over the next eight months.
Goldstuck notes the introduction of new devices may present consumers with attractive alternatives - which may help the company.
He says it must be borne in mind that the market has not yet seen the full range of BlackBerry 10 devices. "I think we will see a few more elements in the range. The Q5 is just a holding pattern. I think we can expect a few other devices - like a phablet."
Heins says BlackBerry will "stay the course". He says it is the course that management has created, and the board accepted.
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