Tuesday, December 27, 2005

A message to BlackBerry?

The Chicago Tribune offers up another article that writes about the increased competition Research in Motion faces from Palm, Nokia, Motorola, while it battles patent infringement lawsuits as well.

Regarding the legal issues and possibility of a court injunction to shut down RIM's Blackberry service, Brian Modoff at Deutsche Bank Securities said, "It's giving competitors an instant foot in the door."

As Benjamin Bollin at FTN Midwest Securities noted, RIM "was the first to market with a turnkey solution. It's kind of a one-stop shop." Gene Signorini at Yankee Group added, "The service and the device work extraordinarily well together. The whole user experience is kind of seamless."

Signorini likened the BlackBerry to Apple's iPod, which "became a huge force partly by packaging a device with a service: Apple's iTunes Music Store, where songs can be downloaded for 99 cents." According to the article, "analysts estimate that RIM has 70 percent to 80 percent of the mobile e-mail market."

Bollin said, "This is a market a lot of people want to be in." Including Microsoft. However, Deutsche Bank's Modoff remarked for enterprises, performance is critical. He said, "It's not just how it looks, it's how it works." And so far RIM has been doing just fine....