RIM Struggles Continue 197
dave562 writes with news of continued difficulties for Research in Motion, who yesterday announced a drop in profits, product delays and layoffs, causing their stock to plunge over 20%. "Why did RIM experience delays? Because RIM recognized that the current hardware wasn't cutting it, and had to upgrade to more powerful chipsets, co-chief executive Mike Lazaridis said. The first will be the BlackBerry Bold 9900 that RIM recently showed off." An article at the Wall Street Journal speculates that the company needs to be taken over or broken apart. "RIM’s operating system could be an intriguing purchase for Hewlett-Packard, which now owns the lovely but unpopular Palm operating system for smart phones. Handset makers like Motorola might be lured to buy The Astonishing Tribe, a Swedish company RIM recently bought that designs snazzy interfaces for smart phones. Patent companies, Google or other tech companies could scoop up QNX, the software company behind the PlayBook tablet computer, and RIM’s BBM messaging platform."
Re:No more (Score:4, Informative)
Disclaimer: I'm a RIM employee.
We're not worried. We pulled in $700mil in profit last quarter. The market somehow believes that we're going out of business as a result. Our market cap is now less than our annual revenue. What kind of sense does that make?
Sure the product needs some work. If you think we're sitting idly on our hands, your wrong. But we're not exactly losing money, and we're a company with no debt and a $3B pile of cash. This stock market mess has made us an _amazing_ acquisition target, but we're nowhere near closing our doors.