RIM must split to save itself

RIM logoA prominent analyst believes the ailing Research in Motion (RIM) should be split into two parts: a phone business and a network operations division.

"RIM's organization, like its handsets, needs modernization," RBC analyst Mike Abramsky stated in a note to investors obtained by PCMag.

Analyst: RIM must split to save itself
According to Abramsky, QNX - RIM's latest OS - boasts lots of potential, but has thus far been negatively affected by "gross mismanagement."

Indeed, the QNX-powered BlackBerry Playbook, which was poorly received by numerous journalists and analysts, can hardly be considered a stellar success.

"QNX is [most definitely] not a panacea," Abramsky emphasized.

"Although QNX appears strong, if QNX doesn't work, or further mis-execution undermines RIM's turnaround, then RIM will be left without a 'plan B.' [As such, RIM must] split the Berry."

It should be noted that RIM shareholders heckled co-CEOs Mike Lazaridis and Jim Balsillie during a general meeting this past Tuesday.

"You're letting Apple and [Google] Android eat your lunch," one angry investor alleged. 
"[Yes], you're an innovator, but you're [obviously] not good at selling what you make."

Source: TG Daily

Tags: RIM

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