Research In Motion Ltd., the technology company responsible for the creation of the Blackberry line of phones, has failed to evolve alongside the competing cellular device companies, and because of this profits are significantly dropping.
Blackberry’s main selling point is through international sales and BlackBerry Messenger known as “BBM,” the in-phone instant messenger, both being some of the sole characteristics of RIM’s remaining strengths. However these features cannot be compared to competitor’s innovative phone models, faster web browsing, and cornucopia of applications. The struggles RIM has faced reflects in the market shares of the company, which have dropped by 14% and a 30% cut in the workforce.
CEO Thorsten Heins took over RIM during a bad time, but he’s making the best of the situation by encouraging the company in it’s release of the Blackberry 10. The fall of RIM’s ability to meet industry standards has led this new release to the be the company’s saving grace. However, the new Blackberry line has been delayed, thus it will miss both the back-to-school and Christmas shopping periods- both crucial time periods if RIM wants profits to rise. Salvation will only be attainable if RIM can exceed industry standards whilst claiming a point of difference that sets them apart.
Links:
http://www.readwriteweb.com/mobile/2012/05/blackberry-ceo-hints-research-in-motion-may-be-up-for-sale.php
http://www.gartner.com/it/page.jsp?id=1924314
http://www.reuters.com/article/2012/06/29/us-rim-results-idUSBRE85R1KG20120629
http://www.bgr.com/2012/09/13/blackberry-us-sales-2012-pacific-crest/
