How worried are Research In Motion's (RIMM) enterprise customers about its struggles? Many of...

How worried are Research In Motion's (RIMM) enterprise customers about its struggles? Many of them are forming contingency plans in the event the RIM's network is disrupted by a breakup of the company or some other business event. Of course, the "contingency plan" for some of these companies is to give into employee requests and begin supporting the iPhone and/or Android. (earlier)

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  • smartoptiontrader
    , contributor
    Comments (20) | Send Message
    Has the backbone of RIM's business - its corporate customers business - started to disintegrate? Some facts stated in the Jul 9, 2012 Bloomberg report by Scott Moritz and Olga Kharif seem to say so. 1) “In the past three months there’s been a lot of concern that the BlackBerry platform won’t be around in the future,” said Maribel Lopez, founder of Lopez Research; 2) Thames River Capital's Robert Cockerill - head of infrastructure at the London-based money manager - said he expects much of his staff to switch to Apple Inc.’s (AAPL) iPhone or devices based on Google Inc.’s Android platform; 3) MobileIron provides security for Thames River Capital including encryption and password protection for non-BlackBerry devices such as iPads, Cockerill said. 4) MobileIron Chief Executive Officer Bob Tinker said his customer list includes 100 Fortune 500 companies. “Large enterprises don’t want to be locked in with a single vendor anymore,” Tinker said in an interview. Customers want to embrace all the innovation in mobile and RIM’s delay of BlackBerry 10 doesn’t help that, he said. 5) Vlad Botic, group enterprise architect at the London-based law firm Norton Rose LLP with 6,000 BlackBerry-equipped employees, is using MobileIron’s software to support iPhones and iPads, which were given to some staff members as secondary devices, said
    Botic, who said Norton Rose would like to continue using BlackBerrys, began exploring alternatives last year after the three-day BlackBerry outage that caused users around the world to lose data services amid a network failure. “RIM isn’t in a good position right now,” Botic said in an interview. “The problem with BlackBerry, which was highlighted when the service went down, was that the only way to solve it is with an entirely new device.” 6) Today, the number of BlackBerrys Nationwide associates use is down to 7,000 from about 8,500 a year ago, while the number of non-BlackBerry devices used has risen from zero to 4,450, Burkhart said. 7) “In the last year, I talked with half of Fortune 100 companies, and it’s a concern for all of them. Every single one of them is looking at contingency plans.” The concerns are prompting many companies to speed up their transition from BlackBerries to other types of mobile devices, Brian Carr, senior vice president of worldwide sales at Sunnyvale, California-based Good Technology. 8) The migration from BlackBerrys started two years ago for Ken Lawonn, senior vice president of strategy and technology at Alegent Health, an Omaha, Nebraska-based health-care provider. The shift was prompted by user preferences, rather than concerns about the future of RIM, said Lawonn who uses Good Technology’s software. The number of Alegent’s 300 smartphone users with BlackBerrys has shrunk to 10 percent from about 50 percent two years ago, he said. “Should something occur, we believe that’s going to be a fairly easy transition,” Lawonn said.


    So, the technology for secure email/data services on IOS/Android/Win8 platforms in replacement of RIM's has already been matured and many corporate customers have been using them already and will be using them in larger and larger scale, which is making RIM's technology more and more irrelevant and less and less valuable as time goes. Any comment? RIMM currently at $7.68 AH last trade, $0.01 lower than today's Close.


    Disclosure: I own RIMM Puts, AAPL Calls and ARNA Calls.
    9 Jul 2012, 06:15 PM Reply Like
  • goofyfoot5
    , contributor
    Comments (43) | Send Message
    Please, seems that the source of your story is MobileIron and the people they suggested you speak to. And of course they would say security on AAPL: and Android had matured, from what? No security. This may be a self fulfilling prophesy for RIMM but that doesn't take away from crap reporting and dare I say plant negative stories.
    What CNBC tonight @ 9PM for a look at your mature seceurity--not.
    9 Jul 2012, 06:25 PM Reply Like
  • Stock Truckin
    , contributor
    Comments (47) | Send Message
    This is actually good news. It shows that the majority of businesses are still waiting for RIM to turn things around. That is great!!
    10 Jul 2012, 05:12 PM Reply Like
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