RIM boss talks of further strategic review as revenue drops


RIM boss talks of further strategic review as revenue drops

Simon Quicke
Blackberry maker RIM has kicked off a comprehensive review of its partnerships and joint ventures as it looks to claw back its position in the smart phone market.

After the recently appointed CEO Thorsten Heins, president and CEO of Research in Motion, unveiled losses for the fourth quarter of $125m with revenues tumbling by 19% to $4.2bn he hinted at job cuts and further changes to get the business back on track.

"The business challenges we face over the next several quarters are significant and I am taking the necessary steps to address them," Heins said.

"We are undertaking a comprehensive review of strategic opportunities including partnerships and joint ventures, licensing, and other ways to leverage RIM's assets and maximise value for our stakeholders," he added.

In the last few days the speculation has been of job losses anywhere between 6,000 to 10,000 in the firm's global workforce, although the consensus now seems to be hovering around the 2,000 mark, and the signs are that the pressure on the vendor is mounting with it taking the decision to stop providing quantitative guidance.

Not only are there problems with revenues but expectations are rising that with inventory levels of stock topping the $1bn mark the firm will be forced to do a write down at some point in the near future.

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