New Blackberry Smartphones Boost RIM's Profits

Mobile Device manufacturer RIM has revealed better than expected revenues of $2.78 billion with higher than predicted earnings of $477 million for the last financial quarter.

The company's profits beat experts' expectations of $471 million and were well above the $371 million recorded for the same period in 2007.

RIM attributes part of this achievement to the launch of a number of high profile handsets like the Storm, the Bold and the Curve which have proved to be commercial successes and helped the company add 2.6 million subscribers in the last quarter.

Altogether, RIM sold a whopping 6.7 million units and now has a user base of more than 21 million. Over the last decade more than 50 million Blackberry devices have been sold.

Figures published also showed that three out of every five new subscribers were non enterprise (which means either SMB or individuals) which means that they now account for nearly 45 percent of RIM's user base.

In the UK, it has announced that it will be looking to consolidate its partnership with the likes of Carphone Warehouse and Phones4u with which it debuted the Blackberry Storm.

In 2009, RIM is expected to tap from its estimated 125,000 strong developer community to build an application portfolio that can rival Apple's or Google's Android.

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Our Comments

RIM is rapidly expanding outside its traditional segment - Fortune 500 and big firms - as the recession bites in and looks set to become one of the key players in the battle of smarter smartphones in 2009. There are claims that a £100 PAYG Blackberry could well debut anytime this year with Vodafone, which claims to have sold 60 percent of all Blackberry devices in the UK, the favourite to launch it.

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