RIM Sees Earnings Rise Thanks To Bold, Storm - InformationWeek
Mobile // Mobile Devices
07:07 PM
[Dark Reading Crash Course] Finding & Fixing Application Security Vulnerabilitie
Sep 14, 2017
Hear from a top applications security expert as he discusses key practices for scanning and securi ...Read More>>

RIM Sees Earnings Rise Thanks To Bold, Storm

The company said its two latest BlackBerry handsets are selling well, and it has added 2.6 million new subscribers for the third quarter.

Research In Motion was able to hit its adjusted estimates for the third quarter, and the success of the BlackBerry Bold and Storm led to $2.78 billion in revenue.

Net income for the quarter was $477.3 million, compared with $370.5 million for the same period last year. The company said it shipped about 6.7 million units, and much of the success can be attributed to two high-profile launches last month.

The BlackBerry Bold smartphone was released on AT&T after months of delays and was met with critical praise. The touch-screen BlackBerry Storm was a direct response to the success of Apple's iPhone 3G, and it was met with mixed reviews. But RIM said the device continues to have strong sales momentum, and Verizon Wireless has had trouble keeping up with demand.

"RIM launched an unprecedented number of BlackBerry smartphones in the third quarter, and these new products are being adopted at an even faster pace than we expected," said Jim Balsillie, co-CEO at RIM, in a statement. "Our industry-leading product portfolio is positioned well to capitalize on the increasing market opportunity in the fourth quarter of fiscal 2009 and beyond."

The company added about 2.6 million new subscribers in the quarter, bringing the subscriber base up to about 21 million. RIM has been able to attract more than just the mobile professional, as it said 60% of new subscribers were from nonenterprise accounts. Overall, RIM said the nonenterprise users account for nearly 45% of its entire subscriber base.

The move toward the casual market has long been expected, and the company's Storm, Pearl, and Pearl Flip are aimed more at the prosumer market than the enterprise user. The company also is emphasizing so-called "lifestyle apps" from the likes of MySpace, Facebook, TiVo, and Slacker.

While the mobile phone market as a whole is expected to contract next year because of economic uncertainty, the smartphone market is still expected to grow. RIM is still leading the U.S. market in terms of market share, but it was outsold by Apple's iPhone 3G last quarter. With a large portfolio of devices, RIM may have the advantage over Apple for the next few quarters until a new iPhone is released.

Comment  | 
Print  | 
More Insights
Newest First  |  Oldest First  |  Threaded View
How Enterprises Are Attacking the IT Security Enterprise
How Enterprises Are Attacking the IT Security Enterprise
To learn more about what organizations are doing to tackle attacks and threats we surveyed a group of 300 IT and infosec professionals to find out what their biggest IT security challenges are and what they're doing to defend against today's threats. Download the report to see what they're saying.
Register for InformationWeek Newsletters
White Papers
Current Issue
2017 State of IT Report
In today's technology-driven world, "innovation" has become a basic expectation. IT leaders are tasked with making technical magic, improving customer experience, and boosting the bottom line -- yet often without any increase to the IT budget. How are organizations striking the balance between new initiatives and cost control? Download our report to learn about the biggest challenges and how savvy IT executives are overcoming them.
Twitter Feed
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.
Flash Poll