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Blackberry Blackout: RIM Shares Tumble On Third Outage Day

Shares of Research in Motion have fallen abruptly since transactions resumed this morning, losing 2.5 per cent in early transactions, while they ended the day yesterday on a five per cent rise at market close.

Since the beginning of the year, shares of RIM have plunged by nearly 60 per cent, valuing the company at just under $12.5 billion, a very attractive price for a company like Microsoft or Oracle.

RIM explained earlier today that a defective switch brought Blackberry Internet Services and Blackberry Messenger down for millions of users worldwide, an acknowledgement that is likely to get many analysts uneasy when it comes to the resilience of Blackberry's infrastructure.

And at that same Blackberry Innovation Forum, its managing director for the UK, apologised for the incredibly frustrating time that users have had to put up with.

We suspect that RIM must have faced a large backlog of data which might have clogged its own Blackberry infrastructure as it attempts to clear it out.

Ironically, all this happened days before the official launch of the Apple iPhone 4S which comes with iMessenger. We wouldn't bet against the likelihood that quite a few of those queuing up on Friday in front of the Apple Stores in London will be swapping their Blackberry for Apple's handset.

Désiré Athow
Contributor

Désiré has been musing and writing about technology during a career spanning four decades. He dabbled in website building and web hosting when DHTML and frames were en vogue and started writing about the impact of technology on society just before the start of the Y2K hysteria at the turn of the last millennium. Following an eight-year stint at ITProPortal.com where he discovered the joys of global tech-fests, Désiré now heads up TechRadar Pro. Previously he was a freelance technology journalist at Incisive Media, Breakthrough Publishing and Vnunet, and Business Magazine. He also launched and hosted the first Tech Radio Show on Radio Plus.