Tuesday, January 24, 2012

Can RIM be saved?

By Chuck Hajdu

This week there was a major/minor shakeup at RIM, the makers of BlackBerry devices. I say major/minor because that’s how it looks to me. Many people will say the resignations of the two co-CEOs is a major development but is it really. Both men are staying with the company in other roles and will still have a major say in what goes on. The man selected as their replacement is a good company man who says he’ll hold the line on what is being done at RIM.

When you consider two things, the value of their stock and their market share, you have to question this decision. Their stock has plummeted by 75% and their market share is down from over 30% to only 16%. Android is totally kicking their butts and the new CEO wants to continue down the same path.

In my opinion RIM has to do what HP did when they hired Meg Whitman as CEO, bring in someone with a totally different mindset. Many businesses and the Federal Government are still using CrackBerrys and NOW is the time to take the steps needed to retain those markets.
RIM needs to insure investor confidence and come out with truly competitive new products. The iPhones and Android devices aren’t going away and they continue to get better and better. Good luck RIM, you’re going to need it.

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