Seeking Alpha
  • Davidoff
    $BBRY,$NOK RIM announced better than expected results, with many negative points. AH: -11%, raised to $15.10 and keeps falling now at $12.7
    12/20/12
    Reply (28)
    • Davidoff: Will NOK face the same issues at Q4 announcement? I'm afraid that it's very likely...
      12/20/12
    • Zhang Fei: I think the issue is that RIMM has results, but no product. NOK has product but no results. That will change when earnings come out.
      12/20/12
    • oneinfiniteloop: The other aspect is that 920, 820, Ashas are already making buzz while RIMM doesn't have much to show, plus...
      12/20/12
    • oneinfiniteloop: ... I haven't heard about any tie-ups with service providers like AT&T, Verizon, etc. for BB10. Plus no guidance on apps for BB10.
      12/20/12
    • oneinfiniteloop: $NOK has $MSFT doing the heavy lifting on the software side while $NOK is doing it on hardware and select applications, location platform...
      12/20/12
    • Davidoff: RIM is going to have 100k apps +300k Android apps upon launch and many worldwide firm expressed their interest and offered free promotions
      12/20/12
    • Davidoff: But the main reason of RIM's rally was takeover rumors. NOK must confirm its succes by figures even though they'll certainly face a pullback
      12/20/12
    • Zhang Fei: For revenues to fall only 5% (quarter-to-quarter) in the quarter just before a major product introduction is quite an achievement.
      12/20/12
    • Zhang Fei: NOK smart phone revs fell 37% from 2Q12 to 3Q12. Still, much will depend on BB10. Operational skill does not trump having a hit product.
      12/20/12
    • oneinfiniteloop: I have a RIMM Playbook and believe me finding apps on Playbook is a painful experience. Also, the browser is very slow in BB10 as well.
      12/20/12
    • oneinfiniteloop: What shines in the Playbook is the 1080p camera, and QNX OS, otherwise the display is pretty dull, I have to make effort reading it.
      12/20/12
    • oneinfiniteloop: That is the reason I didn't buy RIM stock when it was $5. The experience with Lumia 900 was just the opposite and I bought $NOK instead.
      12/20/12
    • oneinfiniteloop: RIM includes a similar capability like People's Hub in Windows Phone 8 that shows all the conversations with a person in one pane.
      12/20/12
    • oneinfiniteloop: RIM supports running multiple apps simultaneously but in Playbook's form factor I have never been able to use it meaningfully.
      12/20/12
    • Zhang Fei: Cause of the RIMM crash: "RIM is changing the way it charges service fees, putting an important source of revenue at risk. "
      12/20/12
    • Zhang Fei: "RIM CEO Thorsten Heins said only subscribers who want enhanced security will pay fees under the new system."
      12/20/12
    • Zhang Fei: The Canaccord guy says they're getting $6 a month now from all subscribers and might get as little as $0 from some subscribers going forward
      12/20/12
    • Zhang Fei: $6*80m*12 = $5.76b suddenly up in the air. Is it now $4b a year or $2b a year in fees?
      12/20/12
    • Seppo Sahrakorpi: @Zhang Thanks
      12/20/12
    • Zhang Fei: No rolling start for BB10. All pedal to the metal: "Mr. Heins said that the introduction of BlackBerry 10, however, would bring an end to"
      12/20/12
    • Zhang Fei: the company's cash hoarding. RIM, he said, will dig into its cash reserves during the quarter to stockpile BlackBerry 10 phones
      12/20/12
    • Zhang Fei: "in advance of their release and to finance advertising and other marketing campaigns for the devices. "
      12/20/12
    • alphaRAJU: It's called cooking the books. Someone better run over to Toronto and check. I was shocked, no apparent reason for the run up or down.
      12/20/12
    • Zhang Fei: WhatsApp on cheap Android phones is gnawing away at RIMM's subscriber base, so the fee reduction was probably a matter of time, anyway.
      12/20/12
    • Zhang Fei: RIMM had to choose between selling phones to more people and selling service to fewer people, and it has chosen phones.
      12/20/12
    • oneinfiniteloop: IMO, when CEOs take such an approach of putting all their cash on success of one device it is generally time to watch out.
      12/20/12
    • Zhang Fei: Wasn't the Playbook rolled out the same way? That was why they've been selling remainders for several quarters. He does have
      12/20/12
    • Zhang Fei: that fee cushion, though.
      12/20/12