The troubles at smartphone maker RIM have been much publicized over the last year or so as the company rapidly loses market share. It is trying to improve matters though and has some good looking handsets being released. Today we have news of RIM stock and an investor calls for company sale if things don’t improve.
According to an article on All Things D the company is broken, and if CEOs Mike Lazaridis and Jim Balsillie can’t improve the situation it should sell off its patent portfolio, or even the whole company. This is the idea put forward by major shareholder of RIM, Jaguar Financial who must be fed up watching the company rushing to try and regain some of its market losses.
CEO of Jaguar Vic Alboini said in a letter to the BlackBerry makers board of directors that the situation is “not acceptable”, and things need to dramatically change. He added “The directors need to seize the reins to maximize shareholder value before more market value is lost.”
The company has already seen big losses in market value with its share price sliding eighty percent since June 2008. This year alone it has dropped almost fifty percent despite management assurances. Alboini feels RIM need to set up a committee of four or five independent directors to look at options if the move to the QNX operating system doesn’t boost the BlackBerry range.
Delays in new products and not enough mobile applications, as well as competitive products are some of the reason that Alboini feels have hampered the company. The company has so far not seen big success in its tablet PC, the PlayBook. Although not the only company to see a tablet PC not selling bucket loads of units, it can’t have helped.
Thing is the company is currently bringing out some impressive looking devices, but the trouble is it may be too little too late. There will be many consumers not even looking at what new BlackBerry devices have to offer, which is a shame.
Do you think RIM can turn their fortunes around?