Shares of RIM were pummeled 21% today after falling 15% yesterday. The Wall Street Journal discusses in this video the problems and future of RIM.
What happened? RIM announced they are delaying the release of new versions of current Blackberries, it won't offer phones using the new QNX operatin system until 2012, and it announced layoffs. Meanwhile new Androids come out every month while the Apple Goliath marches on. The Wall Street Journal reported this afternoon:
"Shares in RIM plunged 21% to their lowest level in five years as investors questioned whether its executives can pull the company
out of its slump. RIM, which was worth more than $80 billion three years ago, ended the day worth less than $15 billion.
Demand for BlackBerry phones has fallen as RIM has been slow to match innovations in Apple Inc.'s iPhone and devices powered by Google Inc.'s Android software. The company, as it fumbles to launch new models, has seen its share of the North American smartphone market shrink to 17% from 50% in 2009...."
and yesterday:
"RIM has pinned its hopes on devices that run on a new operating system called QNX, the first of which is the PlayBook tablet. But RIM isn't expecting to release any QNX-based smartphones until early next year.
On Thursday, RIM said it won't begin to release interim phones that run on an upgraded version of the old BlackBerry operating system until "very late" in August. That is later than analysts had hoped, and means the devices won't contribute to second-quarter revenue...."
Is RIM collapsing?
7 comments:
Yes. Their products are shit, and particuarly so in comparison to iphonesnd addroid devices. Incannt igie owning a blckberry, much less investing in that company,
Considering my experiences with the company, I am sorry to say that this is overdue.
I don't know what wrong, but I feel like we are talking about Polaroid.
Blackberry got stagnant with their development and got overtaken by the rapid improvements to Apple and Android devices.
You can look at a long list of companies and see the exact same results. For instance, Palm, Windows Mobile, IBM PC's, and Atari.
Microsoft does seem to be making an effort to reenter the smartphone market. We'll see how that goes. It is tough to climb back up once you've been knocked down.
Always felt blackberry was for old farts. I was right.
Well, I wouldn't exactly call myself an...old fart...as you so eloquently put it...but I loved the simplicity of the Blackberry. The keyboard was easy to type on and the phone was easy to talk on...because that is what phones were originally made for, right? To talk on...
But....
THEN I got the Samsung Galaxy and said SEE YA to the Blackberry...
The android rocks
"iphonesnd addroid devices. Incannt igie owning a blckberry"
Typing on your iPhone, or your Android?
... My favorite thing about my Blackberry is, it's free. I have noticed I have less trouble with it than my family members do with their iPhones. But satifying an "old fart" like myself is not the path to market success.
I was forced to try to use a blackberry for a few weeks, and I honestly don't know how anybody uses those things. The operatnig system is antiquated, not user friendly, not intuitive. I think it is basically impossible to go from an Android or iPhone device to a blackberry. However it is VERY easy to go the other way!
Also: when I told my company's IT folks that I hated the blackberry, their fix was an Andriod app that works with my primary (Android) phone. Think about it: the company does not have to buy me a device OR pay for monthy service, and I have access to my email/calendar that is FAR superior to blackberry's crappy system.
In short: the only way I would buy this company's stock would be to short it. It is a dead company walking.
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