Rogers Wireless, one of the largest wireless companies in the nation, has announced that it does not plan to carry the newest Blackberry device created by Research in Motion.
This decision came was a shock to many Canadians, as Rogers is one of the first companies to work with RIM to promote and distribute Blackberry products. Both being prominent Canadian companies, the idea of embracing joint national brand recognition is under criticism. However, from the perspective of Rogers Wireless, this decision was based on strategy and was not focused on maintaining corporate relations. Using this idea, it can be generalized that Rogers Wireless was trying to get ahead of the rest of the wireless carriers in the market who share the same points of parity in terms of services and products, in addition to opening up more shelf space for products with a higher demand.
On the other hand, this announcement is bad news for RIM and Blackberry fans. By reducing the channels in where their products can be accessed, RIM’s revenue is likely to continue it’s rapid decline, eventually leading to bankruptcy or to being sold. Finally, whether or not this strategic decision will benefit Rogers Wireless in the long run will be an indication of how familiar the company is with their national market.
This is partnership we may not be seeing for much longer