RIMs refocusing plans

RIM has confirmed that the BlackBerry 10 will be delayed until the first quarter of next year because developers cannot deliver a complete software by the end of this year.  Adding injuries to insult, RIM is hemorrhaging money and has to lay off nearly a third of its employees.

RIM has confirmed that the BlackBerry 10 will be delayed until the first quarter of next year because developers cannot deliver a complete software by the end of this year.  Adding injuries to insult, RIM is hemorrhaging money and has to lay off nearly a third of its employees. 

At this point, RIM may be better off delaying BlackBerry 10 until a highly refined product is completed.  iOS 6 and Jelly Bean will most like make their debut later this year, so that might give RIM a competitive edge by looking at what the competitions have got to offer before releasing a product of their own. 

However, it still stands that the opportunity cost of delaying BlackBerry 10 is that RIM has to keep on losing money if they aren’t making money from their main product. 

“It is necessary to change the scale and refocus the company on areas of highest opportunity,” Thorsten Heins, RIM’s CEO, answered to the press regarding the company’s decision to delay BlackBerry 10 and laying off workers. 

RIM is reporting that it’s losing almost much as money this year as it earned last year.  RIM netted $695 million last year in profit, but it posted a net loss of $518 million this year.

Part of RIM’s refocusing involves reducing the number of phone offerings to put more resources into developing BlackBerry 10. 

Apple is not doing this, but Android and Microsoft are licensing their OS to OEMs, so RIM is said to be looking into eliminating the exclusiveness of the BlackBerry brand.

Source: cio.com