VR-Zone

“We ask for your patience and confidence,” said Mike Lazaridis, co-CEO of RIM, at an investor meeting. “We realize we've not met expectations.”

 

RIM reported a 70 percent drop in profit last quarter, making this delay even worse timing. Many were looking forward to devices with the BlackBerry 10 operating system, previously called BBX, and some analysts projected that it would set the company on the road to recovery.

 

 

RIM claims that its huge loss in market share is due to poor marketing and advertising, which it plans to overhaul in the new year. However, it is far more likely that the plummeting demand is because people are buying iPhones and Android phones instead, both of which have dominated the consumer market and are beginning to eat into the business market, where RIM previously reigned supreme.

 

By the time the new BlackBerrys are out Nokia will have produced a full lineup of Windows Phone 7 devices, adding further competition to the smartphone arena. While RIM might have started off as one of the leaders in this sector, it will now be playing catchup, which could mean game over for the company if BlackBerry 10 doesn't take the world by storm.

 

At the time of writing RIM's shares were down $1.64, or 10.84 percent, to $13.49. It's no wonder shareholders are furious with the poor performance of the company.

 

Source: The Globe and Mail