RIM Surrenders Consumer Market To iPhone

RIM never tried to move into consumer market dominated by Apple in fear of shaking its button down image in the process. Realizing its failure, RIM is ready to surrender in the consumer circle to Apple and focus on its business roots, a field which iPhone is also increasingly becoming dominant.

Wunderlich Securities’ analyst Matthew Robison said, “We no longer anticipate Research in Motion recovering to participate in the mainstream of smartphone industry growth.” Rather, the company will have a role in “supplying business-oriented devices, both mid-range and high end, as well as cloud-based services via the BlackBerry Network,” the analyst moved on to say.

Like the BlackBerry, RIM probably will see its PlayBook tablet sales go to the business handset fans at large. “There is little indication that the PlayBook has registered with consumers outside the loyal BlackBerry installed base,” the analyst concludes.

As observed, non-consumer handset makers have realized that competing in the consumer market is not easy at all. Unlike businesses, which are okay with unchanging hardware and services, consumers can be an inconsistent group. The apparent compromise by RIM of this market illustrates Apple’s strength in aiming product after product at the consumer sweet spot.

 

RIM never tried to move into consumer market dominated by Apple in fear of shaking its button down image in the process. Realizing its failure, RIM is ready to surrender in the consumer circle to Apple and focus on its business roots, a field which iPhone is also increasingly becoming dominant.

Wunderlich Securities’ analyst Matthew Robison said, “We no longer anticipate Research in Motion recovering to participate in the mainstream of smartphone industry growth.” Rather, the company will have a role in “supplying business-oriented devices, both mid-range and high end, as well as cloud-based services via the BlackBerry Network,” the analyst moved on to say.

Like the BlackBerry, RIM probably will see its PlayBook tablet sales go to the business handset fans at large. “There is little indication that the PlayBook has registered with consumers outside the loyal BlackBerry installed base,” the analyst concludes.

As observed, non-consumer handset makers have realized that competing in the consumer market is not easy at all. Unlike businesses, which are okay with unchanging hardware and services, consumers can be an inconsistent group. The apparent compromise by RIM of this market illustrates Apple’s strength in aiming product after product at the consumer sweet spot.

Leave a Reply

Your email address will not be published. Required fields are marked *