In recent months, significantly fewer blackberrys sold than in the same quarter last year, while the smartphone market as a whole is just a big growth. The absence of new models seems to be one of the causes.
RIM sold 11 million BlackBerry’s in the past few months, which is considerably less than in the previous quarter, when there were more than 14 million blackberrys were sold. In the same period last year, nearly 14 million over-the-counter.
The disappointing sales have to do with the declining popularity of BlackBerry: young people, the major growth market in recent years for RIM, seem to be less and less for a BlackBerry to choose, now the functionality of BlackBerry Messenger via sms alternative WhatsApp on the smartphones of many more people. This is for free sms and a BlackBerry is no longer needed. Also models continue with the new operating system BlackBerry 10 as yet; that will come later this year.
The falling popularity has major consequences for the company. The two co-ceo’s names in January, resignation, but now make, among others, the coo and cto are known no longer for RIM to work. That let the company know at the presentation of the quarterly figures. There were no clear reasons for the dismissal of the senior executives given, but it probably has something to do with the difficult situation the company finds itself. One of the two ex-ceos, Jim Balsillie, has now also joined the board of directors resigned.
The new ceo, Thorsten Heins, has admitted that his company is in heavy weather condition. The disappointing sales contributed to a quarterly loss of 125 million dollars on a turnover of 4.2 billion dollars. Also, RIM is gloomy about the future sales of the current BlackBerry range.
There were a total of 1.3 million PlayBooks were sold last year. This RIM, in spite of substantial price cuts, not in the near of competitive tablets on Android or the iPad. Is expected to be RIM this year with a few new PlayBook models.
Heins also considers that there is a new direction within the company. So are several software services that RIM in the planning had been deleted and the focus on the business market. The Canadian BlackBerry-maker would be on the consumer market suffer from the fierce competition. In addition, considering the company together with other companies in the telecom market, or BlackBerry operating system of marking to hardwaremakers.