Bye-bye Blackberry

The story is simple: BlackBerry has lost nearly half its users in the past year.imgres

Research in Motion said on Thursday that it lost a million BlackBerry owners worldwide during the company’s last financial quarter. The New York Times reports that the company “has other bad news as well, a month before introducing its new BlackBerry 10 phones to the public. Revenue fell 48 percent in the company’s fiscal third quarter, ended Dec. 1, to $2.7 billion from $5.2 billion a year earlier. RIM reported net income of $9 million, down from $265 million last year. The company said that using nonstandard accounting methods to adjust for the tax gain and other pretax charges led to an adjusted net loss of $114 million for the third quarter, or 22 cents per share.

“Analysts had expected a larger loss of 35 cents a share, according to a survey by Thomson Reuters. Nevertheless, RIM’s shares fell about 9 percent in after-hours trading. Before RIM’s announcement, shares closed at $14.12, up for the day by 3.6 percent. The company has pinned all its hopes on the BlackBerry 10 to win back customers who may have defected to iPhones or phones using Google’s Android operating system. RIM said 79 million customers were using BlackBerry devices.

“’We believe the company has stabilized and will turn the corner in the next year,’ Thorsten Heins, the chief executive, said in a conference call with analysts. ‘We are realistic about our competitors, but we know that customers in this industry demand and respond to innovation.’”

For further reading, see: http://www.nytimes.com/2012/12/21/technology/a-million-users-desert-blackberry-and-revenue-falls-48.html?adxnnl=1&adxnnlx=1356129511-TvvPeed6S/QegGLpIv+TlQ

 

 

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