BlackBerry Maker RIM Dismisses Report of Company Split
RIM, responding to reports that it may split its hardware and services businesses, reiterated that it’s focusing on "partnerships, licensing opportunities and strategic business model alternatives" to save the business.BlackBerry-maker Research In Motion is considering separating its services business from its handset business, either of which it could then potentially sell, The Sunday Times of London reported June 24, though it didnt cite a source. However, RIM and its supporters are dismissing the report. Amazon and Facebook are said to be potential buyers, with Apple and Google possibly eyeing RIMs successful messaging service, were it up for grabs.
Despite the steps of QNX, PlayBook, BlackBerry 7, new devices, etc., the handset organization may still be moving too slowly and too conservatively; RIM has strengths in device, network and hardware engineering, but the market has shifted from hardware to software, from network needs to the consumer experience. RIM needs to up its game by promoting and/or recruiting new blood with competencies around software, consumer user experience, developer tools and relations, and marketing, and raising operational standards for accelerating product cycles and scaling operations. We believe the split may accelerate organizational change and help reinvigorate RIMs culture and promote new blood, given that the current organization has missed (and dismissed) key disruptive changes in the market ¦
RIM has indeed since promoted new blood and mixed things up. In January, it announced little-known COO Thorsten Heins would take over for co-CEOs Lazaridis and Mike Balsillie. Heins, who at the BlackBerry World 2012 event in Orlando in February told reporters that there was a new excitement at RIM and employee morale was high, has undone other executive redundancies and trimmed down RIM staff considerablyreports of layoffs range from 2,000 to 6,000in an effort to save money and make RIM the lean and mean company it needs to be.