Will Prem Watsa come to BlackBerry's rescue?

Struggling smartphone maker BlackBerry has said its board has formed a special committee to explore "strategic alternatives" in hopes of enhancing the company's value. These 'alternatives' could include joint ventures, partnerships, or other moves like putting itself up for sale.

Monday's announcement marks the second time BlackBerry has said it has hired bankers to help weigh its options since Thorsten Heins became CEO in early 2012.

The company had faced numerous delays modernising its operating system with the BlackBerry 10. During that time, it had to cut more than 5,000 jobs, and shareholder wealth declined by more than $70 billion.

Analysts began the guessing game on Monday itself on who might want to buy BlackBerry.

"If they can get it done they should absolutely do it. If (BlackBerry has) a future it would be better to do out of the public eye," said BGC Financial analyst Colin Gillis.

In what is seen as a 'positive' move in the direction, director Prem Watsa, the company's largest investor with a 9.9 per cent stake, is resigning from BlackBerry's board "due to potential conflicts that may arise during the process". Some interpreted this as Watsa being a possible bidder for the smartphone company.

Watsa, founder of insurance company Fairfax Financial Holdings and one of Canada's best-known investors, on his part has said he believes BlackBerry can turn itself around, but that it might take three to five years.

"I continue to be a strong supporter of the company, the board and management as they move forward during this process, and Fairfax Financial has no current intention of selling its shares," Watsa said in a statement issued by BlackBerry.

Gillis said Watsa, partnered with some financial backers like pension funds, could try to buy BlackBerry. Technology companies like Apple, Google or Microsoft would not be interested because they already have their own mobile platforms, he added. "Anyone who is a player in the space has taken a sniff and moved on. Now you've got financials."

However, much continues to be said on the internet about the company's viability and whether buying BlackBerry Ltd would be a smart move for any investor or company.

In January, the company unveiled new phones running a revamped operating system called BlackBerry 10 designed to better compete. But its market share continues to lag.

IDC said last week BlackBerry has fallen to fourth place in global smartphone sales, now trailing Microsoft. IDC estimated BlackBerry's worldwide market share at 2.9 per cent. BlackBerry also warned in June of future losses.

CBC News' Don Pittis began his post for the website with the question - "Who the heck would want to buy a BlackBerry?" - before going on to talk about how the Canadian company is up against smartphone kings Apple and Samsung, along with Google and Microsoft, who keep inventing ways to make phones even smarter.

All eyes will now be on the results of the strategic review, headed by Timothy Dattels who joined BlackBerry's board last year and is a senior partner at TPG Capital, one of the world's largest private equity firms.

JP Morgan Chase & Co. is serving as its financial advisor and Skadden, Arps, Slate, Meagher & Flom LLP and Torys LLP are legal advisors.

BlackBerry Ltd has just over $3 billion in cash and no debt. The market capitalisation is $5.7 billion.

The smartphone maker's US-traded stock closed up 10.5 per cent to $10.78 on Monday.

With inputs from Associated Press