The latest Blackberry 10 OS is to be launched within a few weeks from now by Research in Motion (RIM) that is giving some precious insights into its strategy for 2013. Initially, only two BlackBerry 10 devices are to be launched. One is a touch screen smart phone and other is with a QWERTY keypad, as we already know. And other four devices are to be launched during the whole year. As RIM is getting ready to reveal BB 10 to the world at the end of this month, 2013 is definitely a crucial year for RIM.
RIM has garnered the hold of around 150 carriers all over the world who are testing the BB10 devices for approval in their labs to reach the maximum possible costumers. In the last 3 months, with the launch of BB 10 devices nearing, RIM’s share rates have risen 50% and more. Blackberry 10 is the first handset powered by the BB 10 OS and is believed to win back users.
For the last 6 consecutive quarters, year after year, BlackBerry item sales have fallen. With a steep drop of 50% and more each year, and around 7% after every passing quarter, RIM shipped merely 6.9 million BBs in the last quarter. Even though the sales in U.S. and U.K. markets are continuously declining, the constant fame of BBM services in the international market has helped Research in Motion protect its user base. Despite reporting average losses for 3 quarters, RIM has still been able to continuously generate cash with its 80 million strong user base.
To cope up with this hard transition period, RIM is going to bank on BBM service revenues and push email services from existing customers. Simultaneously, to upgrade to BlackBerry 10 initially, RIM is primary looking for getting this installed base.
BlackBerry services including BBM and Push email are exclusive value prepositions for the clients. Currently this is the most precious division for RIM’s share, accounting for approximately 40% of the price stock. Making BES 10 upgrade complex and costlier, the present enterprise servers will not support BB 10 devices. This will reduce the chances for RIM to push BB 10 device into enterprise base.
RIM is also facing an increasingly rising war against the 2 renowned mobile ecosystems- the iOS and the Android, and a lot is depending on the reception of BB 10 in the market. Since the launch of BB 10 devices is expected in the starting of this year, Research in Motion will not only be under competitive pressure of Android smart phone and iphone5 but also by the latest Windows phone. If potential customers decide to purchase competitor smart phones, then competitive pressure on RIM will surely build.
If RIM manages to make BB 10 a strong smart phone, it can still make money from its retail and enterprise niche and can also approach the market again. The Asia Pacific, Indonesia, South Africa, and Venezuela are emerging markets where the BlackBerry has still not hit as hard as in the already developed markets; so it could become a Research in Motion’s dark horse in this quest.
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