BlackBerry announced it will sell its patents primarily related to mobile devices, messaging and wireless networking for $600 million to a special purpose vehicle formed to acquire the company’s patent assets.
BlackBerry said the transaction with the vehicle, Catapult IP Innovations, will not impact customers’ use of its products or services.
The move comes weeks after BlackBerry pulled the plug on service for its once ubiquitous business smartphones, which were toted by executives, politicians and legions of fans in the early 2000s.
At the closing of the deal, the company will receive $450 million in cash and a promissory note for $150 million.
BlackBerry’s core businesses today are cybersecurity and software used by automakers.
BlackBerry secures more than 500 million endpoints including 195 million vehicles. Based in Waterloo, Ontario, the company leverages AI and machine learning to deliver innovative solutions in the areas of cybersecurity, safety, and data privacy solutions.