Lenovo, the Chinese PC giant, strongly considered buying out BlackBerry. However, the Canadian government blocked the deal from happening according to The Globe and Mail. The Canadian government told BlackBerry that the move was not happening due to national security concerns.
The Ottawa government said in high-level discussions that it would not approve a Chinese company buying a company that is tied into Canada’s telecom infrastructure. The government made the position known over the last couple of month. BlackBerry runs a secure network that handles hundreds of millions of encrypted messages every day. Many of their customers include government agencies, businesses, and Fortune 500 firms.
Yesterday, BlackBerry abandoned their plans to sell themselves and agreed to $1 billion in financing from a group led by Fairfax Financial Holdings.