Rim is Going RIP

You read it right. The Research in Motion’s downfall seems to be continuous after seeing its Q1 financial report this year.  As form some people who have been taking a close look at the company, the collapse of RIM is unfortunately inevitable.

As of this week, RIM has announced that 5,000 of their current employees will be jobless very soon after losing $518 million in the last three months. The 40% decrease of sales compared to last year and the delayed release of the new Operating System they are developing are just few of the reasons as to why they are laying off some people.

 The Canadian company is now rumoured to be planning to sell its services yet the 70% stock price drop makes it not feasible as well. On the other hand, if RIM and its Blackberry are suffering a 5 year losing streak in the phone category, Apple’s Iphone is celebrating its 5^th year anniversary since it released the first Iphone. With 217 million units sold, the new Iphone 4s is getting more popular to cell phone users all over the world.

What went wrong with RIM? According to the company’s critics, RIM is not up for the competition. They kept their phones the same with few enhancements here and there believing that business users all around the world would remain loyal to their Blackberry phones. Yet Angry Birds and Temple Run caused so much thrill that Blackberry eventually released its own touch screen version- too late because Iphone 3Gs is already leading in the market.

Still, with 78 million blackberry users around the world and $2.2 billion cash in hand, Research in Motion is hoping that the magic they had in middle of 2000’s would return as soon as they release the new Operating System they are currently working on.