In an interview this morning with CBC’s Metro Morning radio show there were a few odd quotes by RIM CEO Thorsten Heins today: “there’s nothing wrong with the company as it exists right now… I’m not talking about the company as I, kind of, took it over six months ago. I’m talking about the company (in the) state it’s in right now.” Heins followed this up by talking about his competition, specifically Google’s Android and Apple’s iOS, stating “This company is not ignoring the world out there, nor is it in a death spiral… yes, it is very, very challenged at the moment — specifically in the U.S. market. The way I would describe it: we’re in the middle of a transition… All that is in the making, it’s in the works. This company is in the middle of it and I’m positive we will emerge successfully from that transition.”
RIM reported their Q1 results last week and decided to lay off 5,000 employees, plus announced their anticipated BlackBerry 10 OS and devices will delayed and released in Q1 2013. The market reacted heavily to this news and their stock price is now sitting at $7.49/share with a market share of $3.86B.
Unfortunately there are some things wrong with RIM, but they are fixing them. If there wasn’t they wouln’t have hired J.P. Morgan Securities and RBC Capital Markets to help with a “strategic review” of the company. In addition, if there’s wasn’t anything wron with RIM they wouldn’t be cutting 5,000 jobs.
Source: Canadian Press