For years, Research In Motion RIMM has dominated the U.S. market for smart phones, essentially handheld laptops for road warriors. It was a niche market growing five times faster than the standard cell phone space.
Then came the Apple AAPL iPhone, creating a flood of smart phones from various manufacturers.
Canada-based RIM responded in 2008 with new products for business and consumers. The impact of its large investment in research and development and the onslaught of competition surfaced in the summer, as earnings and sales slipped below expectations. RIM has lowered expectations ever since.
Jim Balsillie, co-chief executive, remained confident throughout and looks forward to 2009 as the market shifts into the field it pioneered and in which it remains the market leader.The initial attraction of the BlackBerry was its ability to handle e-mail and business applications. Newer models can surf the Web with ease, play music, capture photos and provide satellite navigation. The emphasis is now on the development of software applications that bring a rich set of new features to smart phones. There are thousands of them for business and pleasure.
The smart phone has become a game changer. No longer do cellular service providers like AT&T T and Verizon VZ set all the rules.
Then came the Apple AAPL iPhone, creating a flood of smart phones from various manufacturers.
Canada-based RIM responded in 2008 with new products for business and consumers. The impact of its large investment in research and development and the onslaught of competition surfaced in the summer, as earnings and sales slipped below expectations. RIM has lowered expectations ever since.
Jim Balsillie, co-chief executive, remained confident throughout and looks forward to 2009 as the market shifts into the field it pioneered and in which it remains the market leader.The initial attraction of the BlackBerry was its ability to handle e-mail and business applications. Newer models can surf the Web with ease, play music, capture photos and provide satellite navigation. The emphasis is now on the development of software applications that bring a rich set of new features to smart phones. There are thousands of them for business and pleasure.
The smart phone has become a game changer. No longer do cellular service providers like AT&T T and Verizon VZ set all the rules.
article by BRIAN DEAGON (Investor's Business Daily)
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