Between the Lines

Larry Dignan, Andrew Nusca and Rachel King

BlackBerry 10 potential doubted by RIM insiders: report

By | December 22, 2011, 9:30am PST

Summary: Based on remarks from RIM’s co-CEOs this week, it looks like the company is pinning all of its hopes on BlackBerry 10. But not everyone else at RIM is so confident.

Following a disappointing earnings announcement earlier this week, Research In Motion’s co-CEOs Mike Lazaridis and Jim Balsillie talked up the pending launch of BlackBerry 10 heavily.

Although the new mobile platform has been delayed until later in 2012, both executives repeatedly explained the advanced technology of these new handsets as major selling points. Basically, these arguments conveyed the sense that RIM is pinning its last hopes on the success of BlackBerry 10.

However, not everyone at RIM is so certain.

Boy Genius Report writes, according to an anonymous but “trusted” source with inside knowledge of RIM, that the delay does not have to do with necessary dual-core chipsets or anything else related to parts but rather RIM’s leaders don’t have a clear survival strategy at this point.

Furthermore, it would seem that BlackBerry 10 just isn’t up to par yet. As of now, supposedly BlackBerry 10 operates somewhere around the level of iPhone OS 1.0 or Android 2.0. Ouch.

However, even if that is true now, that could certainly change as RIM keeps developing BB 10 over the next several months. Nevertheless, RIM certainly has its work cut out for it, and it cannot afford to cut anymore corners after poor sales (smartphone and tablet-wise) in the United States.

Recently, several ZDNet writers offered suggestions about how to save RIM. Responses included abandoning its consumer side to focus 100 percent on business customers, to become a software-only company, or buy open-source webOS and start over.

UPDATE: RIM sent us the following response during the holiday break regarding BGR’s post:

RIM made a strategic decision to launch BlackBerry 10 devices with a new, LTE-based dual core chip set architecture. As explained on our earnings call, the broad engineering impact of this decision and certain other factors significantly influenced the anticipated timing for the BlackBerry 10 devices. The anonymous claim suggesting otherwise is inaccurate and uninformed. As RIM has previously explained, and as Mike Lazaridis reiterated on the earnings call, we will not launch BlackBerry 10 devices until we know they are ready and we believe this new chip set architecture is required to deliver the world class user experience that our customers will expect. Any suggestion to the contrary is simply false. We appreciate the interest in our future platform and we will continue to work hard to deliver that platform as soon as possible. At the same time, we also remain very excited with the success of our recently launched BlackBerry 7 smartphones and we believe these products offer a very compelling choice for both new customers and the almost 75 million BlackBerry users around the world.

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Rachel King is a staff writer for ZDNet based in San Francisco.

Disclosure

Rachel King

Rachel King has no business relationships, affiliations, investments, or other potential conflicts of interest relating to the content posted in this blog.

Biography

Rachel King

Rachel King is a staff writer for CBS Interactive in San Francisco. Before serving as a contributing editor at ZDNet in New York City for two years, she previously worked for The Business Insider, FastCompany.com, CNN's San Francisco bureau and the U.S. Department of State. Rachel has also written for MainStreet.com, Irish America Magazine and the New York Daily News, among others. Rachel has a B.A. in Mass Communications and History from the University of California, Berkeley and a M.S. in Journalism from Columbia University, where she served as art director for the student magazine, Plated.

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First it's delayed which means it wont be helping RIM stop tanking for the early part of the year, losing more market share forever. Second it will be just another in a long string now of disappointing failures when it gets here. Then the RIM management that should have been thrown out long ago will come up with their next excuse and their next "just wait for" announcement. RIM stock is down 74% for the year! What else do shareholders need before they demand a strategy change? For RIM to be viable in 2013 RIM needs to come out now and announce they're cancelling BB10 and partnering with MS/Nokia to build WP/W8 based phones and tablets. MS/Nokia are going to do it without them and completely take the small remainder of their market away if they don't. They should get in and get the enterprise slice of that while it's still available to them. It's working out fantastic for Nokia.
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"How about offering Android OS, Windows OS, and QNX on BlackBerry devices. Sounds drastic, but it may just help RIM regain their market share. BlackBerry???s OS is primitive by current standards, think Palm OS. However, the brand name and hardware still resonates with consumers (typing without keys, hell no!). Given the option to buy an Android HTC, Samsung, or BlackBerry, I would buy an Android BlackBerry. There is strong brand affinity with BlackBerry, and Berrys are perceived as quality devices. I think most folks would buy an Android BlackBerry. This would be similar to how consumers were receptive to Kindle Fire vs. (insert manufacturer) tablets. Hello, market share.
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