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BlackBerry deepens Samsung partnership in attempt to attract business customers

BlackBerry Ltd. is bulking up its security partnership with Samsung Electronics in an effort to attract more business customers.
BlackBerry CEO John Chen sends a message on his new Passport device following its launch in Toronto in September 2014. BlackBerry says it has locked in a new agreement that will integrate more of its services into Samsung Knox, the South Korean company's mobile security platform. (Chris Young/Canadian Press)

BlackBerry Ltd. is bulking up its security partnership with Samsung Electronics in an effort to attract more business customers.

The Waterloo, Ont.,-based smartphone company says it has locked in a new agreement that will integrate more of its services intoSamsung Knox, the South Korean company's mobile security platform.

The pact is the latest in a growing relationship betweenBlackBerry and Samsung, once smartphone industry rivals who are nowcombining some of their efforts to bolster a competitive stanceagainst Apple Inc., which is making its own solo push into thebusiness community -- known within the industry as enterprise users.

BlackBerry chief executive John Chen said his company bringsadditional security features to the table that Samsung needed toimprove its slate of software.

"Samsung is a consumer company and they intended to get into theenterprise space," Chen said on a recent conference call withreporters."Enterprise needs a lot more than what the Knox offered."

The joint announcement comes just before the start of the MobileWorld Congress trade fair in Barcelona, Spainon Monday.

BlackBerry's WorkLife allows businesses to supply phones to theiremployees, but create a virtual divide within the device that allowsit to operate as if it were two separate phones.

For instance, a company-owned phone can operate as both a personal and work phone, creating a split between work and personalphone calls, texts and data usage. It will be available throughcarriers later this year, though BlackBerry did not provide anyspecific target date.

SecuSuite software adds an extra level of security to the phone with encryption technology that makes voice and textcommunication"virtually tap-proof," Blackberry said. The service will beavailable on Samsung Knox this fall.

Last year, BlackBerry announced an initial partnership withSamsung, giving owners of Samsung Galaxy smartphones and tablets theoption of linking with BlackBerry's new mobile security software,known as BlackBerry Enterprise Service 12.

BlackBerry has been trying to pivot its business model away fromthe consumer market under the leadership of Chen, who joined thecompany in late 2013.

His strategy has focused on cementing new relationships withcorporate clients, as services and software revenues begin toeclipse the money it makes from handsets.

Part of that plan has involved rolling out some if its securityservices for other devices like the Galaxy and Apple's iPhones,which run on different operating systems.

However, getting the business community to view BlackBerry asmore than just a device company has proven a challenge, especiallysince the company built its reputation around its famous keyboardsmartphones.

"We have to keep telling our prospects and our customer basethat we're supporting (multiple operating systems) because that's afact," said chief operating officer Marty Beard."We don't want people to only see this as a BlackBerry offering."