BlackBerry announced on Monday that it will sell its heritage patents, which are mostly linked to mobile devices, messaging, and wireless networking, to a special purpose organization created to acquire the company's patent assets, for $600 million.
BlackBerry said the deal with Catapult IP Innovations will have no effect on users' use of its products or services.
The announcement comes only weeks after BlackBerry ended support for its once-ubiquitous corporate handsets, which were carried by CEOs, politicians, and legions of enthusiasts in the early 2000s.
BlackBerry's stock was down 3.6% in premarket trade on the New York Stock Exchange. BlackBerry, like GameStop and AMC Entertainment, was one of the so-called "meme stocks" that experienced a rise in early 2021.
The company will receive $450 million in cash and a $150 million promissory note at the conclusion of the transaction.
BlackBerry's major businesses today include cybersecurity and software used by automakers, and it was once known for phones with a tiny QWERTY physical keyboard and the BBM instant messaging service.