BlackBerry announced yesterday that it has anticipated a loss of 1 billion, for its second quarter earnings report set to release next week. It plans to lay off around 40% of it’s workforce in an attempt to slash losses.
It seems the news nowadays for Blackberry is anything but positive. Common arguments for RIM’s fall includes their failure to quickly introduce touch-screen smartphones, fierce competition from Samsung and Apple, and heavy reliance on government/corporate users. BlackBerry USP was something like “the most secure phone in the world” and this was very appealing for government and businesses. As consumer preferences changed and people preferred to mix business and pleasure, BlackBerry no longer had a USP. Perhaps it is time for Blackberry to invest more time in developing their smartphones than to release a multitude of them in a short period of time. In every version of the iPhone, Apple releases distinct innovations that surpass their competitors in that period. The iPhone 5S has a fingerprint scanner (which is probably the biggest reason why I would purchase an iPhone myself). Now imagine RIM investing a huge amount of time to create the world’s first phone with the capability of producing holograms. Take my money please!
News Article: http://finance.yahoo.com/news/blackberry-lay-off-4-500-194022180.html