RIM announces Q4 $125M loss; Jim Balsillie and others resign

RIM announces Q4 $125M loss; Jim Balsillie and others resign
RIM has completed its quarterly earnings call and the word is already pretty bad. The company has been facing a troubling outlook for a while now, with the delay of BlackBerry 10 and the reduced number of BB10 devices. All of this culminated with RIM co-CEOs Jim Balsillie and Mike Lazaridis stepping down from those positions in favor of new CEO Thorsten Heins

Early reports from the current earnings call puts RIM's Q4 losses at $125 million before adjustments on $4.2 billion in revenue. This is a significant dropoff from the Q3 numbers that RIM had reported, which still had the company in the black by $265 million on $5.17B in revenue. 

Ex-co-CEO Jim Balsillie has also apparently resigned from the RIM board. Given that these fiscal numbers are for the last quarter of Balsillie and Lazaridis' time in charge, this isn't really surprising. After stepping down as co-CEO, Balsillie had remained on the RIM board, but now Balsillie is retiring from the company completely. 

No word yet on Lazaridis' plans as to whether he will stay on as the vice-chairman of the RIM board. 

In addition to Balsillie, David Yach has retired as CTO, Software for RIM, and Jim Rowan has stepped down from his position as COO, Global Operations. 

It seems as though new CEO Thorsten Heins is in the mood for some Spring cleaning at RIM. We'll have to wait and see if it can help change the direction of the company. 

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34 Comments

1. androidoholic

Posts: 6; Member since: Mar 12, 2012

Wow...but of course it had to happen. What do you expect RIM, you need to make a quality product that people enjoy, and push an OS that is at least close to as technologically advanced as Android, Apple, or Windows Phone.

27. Yummy

Posts: 117; Member since: Mar 28, 2012

Yes. If I were leading the company, I would say to upgrade the current line up instead of using "outdated" technology

2. GALAXY-S

Posts: 701; Member since: Jun 07, 2011

Well RIM decided to stick with the same 07 technology with no innovations and delays on bb10 which might have helped them a bit.. The RIM ship is sinking ! Get off while you can Jim Balsillie R.I.P RIM...

3. Chronos

Posts: 258; Member since: Feb 25, 2012

That's what happens when a company doesn't bother improving.

18. TROLL.ISAHA

Posts: 535; Member since: Mar 28, 2012

Precisely!

4. haikallp

Posts: 319; Member since: Feb 10, 2012

RIM is basically f**ked..they were so blinded by their ignorance and refused to make changes in the OS. They took their own sweet time to release new phones with OS changes. By now, its too. late for salvation. Developers are leaving RIM in favor of more competitive OS like Windows Phone. Goodbye RIM. Won't miss you :)

10. -box-

Posts: 3991; Member since: Jan 04, 2012

I wouldn't be suprised if the same thing happens to apple in the near future... Companies shouldn't bask in their own hubris, they should contine to invent and improve and innovate

32. atheisticemetic

Posts: 377; Member since: Dec 18, 2011

the difference is that apple is a religion....a religion that wont die it will forever underachieve but the american consumer wont know or care about the difference... Blackberry is just simply outdated (pull a battery and wait 5 minutes to start).....

5. jmoita2

Posts: 930; Member since: Dec 23, 2011

RIM=RIP

6. haikallp

Posts: 319; Member since: Feb 10, 2012

this though, should serve as a reminder to other OEMs. They should not be too confident on the future of their devices/OS and stop improving. They should continue improving and come up with new, innovative ideas.

7. eaxvac

Posts: 328; Member since: Jan 15, 2012

RIM is f**ked, even if you give me BB10 right now I won't use it.

8. GALAXY-S

Posts: 701; Member since: Jun 07, 2011

The last bb i owned was the bbcurve 8900 on bb os 5.0 .. i think that was that last time rim made an improvement over competition, after that i have not seen anything new except for tweak here and there.. but nothing is appealing at all.. i know tons of people feel the same way

9. bragzter

Posts: 53; Member since: Feb 21, 2012

Hard to believe to see a once mighty empire as RIM crumble like that. BlackBerry is popular among kids as they use BBM everyday to chat each other. They will miss it the most, especially as they had no installing to do, it works right out the box.

11. rockstarlive

Posts: 307; Member since: Oct 19, 2011

Might as well sell all of their phones for a dollar.....including that Porsche phone

12. som

Posts: 768; Member since: Nov 10, 2009

RIM must switch to Android OS now if they want to survive next quarter.

17. haroonazeem638

Posts: 141; Member since: Mar 29, 2011

That could work but RIM won't do it. They are all about security and all that crap which I don't believe is a big problem with Android as it usually is hyped about.

13. Jdub0323

Posts: 9; Member since: Jan 12, 2012

Their company image is so damaged, it will be hard to get out of the disaster that they have created. Even Windows is making them look like a joke.

22. TROLL.ISAHA

Posts: 535; Member since: Mar 28, 2012

Well good luck to NOKIA and RIM and MICROSOFT hope it remains what it is now what won't in the future.....

14. downphoenix

Posts: 3165; Member since: Jun 19, 2010

The RIM bashing is just ridiculous. They have fallen behind quite a bit from Android or Iphoen both, that is undisputable. However, except MAYBE in Europe, they have a big lead over WP still. Its strange that so much joy and support is being pushed for WP when it still DOES NOT SELL. Nokia has had the best crack at it so far, but the Nokia 800, remember how it sold decently well? Wanna know why? Because they gave away free XBOX 360s when you bought one! RIM shipped 11 million phones last quarter, I seriously doubt WP did that many, and even if it did, there are still a lot more people in the world using a BB than a WP at this point, given that WP is struggling to even best the old Windows Mobile platform. That could change in 2 years or so, but nothing concrete indicates this yet.

19. aarick

Posts: 1; Member since: Mar 29, 2012

The only reason RIM is still selling so many blackberrys is because of businesses that have invested in BES server and have not moved on yet. As more and more firm move away from their BES investment and as MDM solutions mature, RIM sales will only fall. And with iMessage from Apple and platform agnostic Whatsapp client, countries tied to to the BBM system (eg. Indonesia, as was why they launch the last BB Bold in Jakarta) will slowly fade away and sales will only continue to drop. The main reason WP is still lagging so much is because of Apps support. Reviews always rave of how nice and fluid it is to use WP. However, when asked if they would used it, the response is always it's missing the app that I always use..or I need this app and it's not there. Microsoft realise this and that's why MS and Nokia are investing in WP AppCampus. But in the current market, all I can say is that Apple needs to continue to innovate as well to stay ahead. If Android can improve and drop its image of being non-user friendly and increase security on the device, Apple will really need to up its game and continue to innovate.

20. remixfa

Posts: 14605; Member since: Dec 19, 2008

Thats disingenuous at best. The bulk of RIMs business these days come from existing corporate clients. There are only a few countries, like India, where RIM remains a popular solution for regular folks. The vast majority of RIMs current money does not come from phone sales but from liscencing fees for its BES corporate email suite. WP7 had a quiet launch. We've been over this a million times. MS is just now getting to the point that they want to promote the heck out of WP7. Since Nokia has entered the game, sales have jumped exponentially, and with the upcomming push, its going to jump even farther. Android sold like a million handsets its first year. Thats way less than WP7 sold. People wanted to write off Android right away as well, and look where it is now. MS is playing a long term game while your trying to referee for the short term. There is absolutely no such thing as "if it doesnt catch on by X date, then its DOA". the real world doesnt work like that. As long as MS and other pump money into it, it will be around. And again, MS is looking for long term growth, not a short spike and thus is willing to continue to pump money into it.

15. sheepygalaxy

Posts: 68; Member since: Mar 10, 2012

Rim will pull through but they will have to start at the bottom and rebuild what they had just look at what Nokia are doing now

16. TROLL.ISAHA

Posts: 535; Member since: Mar 28, 2012

GOOD! They never hear or pay attention.... I remember years back when some-one reccomended, or said to have mp3 players on there phone "they laughed at that" so could you envisage!

21. remixfa

Posts: 14605; Member since: Dec 19, 2008

I gotta say, this should have happened like 2 years ago. BB10 needs to be a huge hit. RIM is safe as long as they dont start eroding their business customers, which unfortunately for them is happening.. so they are getting to do or die. I hope they do liscence out to Samsung like the other rumor suggested. That could be a good boost for them.

24. TROLL.ISAHA

Posts: 535; Member since: Mar 28, 2012

Remixfa that avatar of urs recalls me of sessame street froggy cookie monster elmo and guess who HELLLLLLO EVERYBODY!

26. remixfa

Posts: 14605; Member since: Dec 19, 2008

dude, thats kermit the frog, from the Muppets. He's singing "hurt" by NiN. U should look up "Sad Kermit" on youtube, there is a whole string of songs.. funny stuff.

28. TROLL.ISAHA

Posts: 535; Member since: Mar 28, 2012

Cool that reminds recalls my childhood great days... that will never be back remence. I still watch it some times on you tube comedy and fun love life laughter.....

23. TROLL.ISAHA

Posts: 535; Member since: Mar 28, 2012

Not-either!

25. ironmarc89

Posts: 64; Member since: Jan 22, 2012

They thought that corporate america was enough to keep them competitive but failed to conform to what your BB faithful wanted that iPhone and Android already have. Now its too late and you are trying to come back. It started when you said it made no sense to have a camera on a BB. They need to just need to go strictly software and license the enterprise email to the other platforms, that way you can still have money coming in R.I.P. BB, without you email would still suck. Moment of silence for R.I.M (bows head and closes eyes)

29. RORYREVOLUTION

Posts: 3131; Member since: Jan 12, 2010

I'm sad to see this happening to RIM. I mean one of my first major sell phones was the Blackberry Storm. Despite it's issues, it was a pretty awesome device. I was really hoping they could pull through and make great, up to date devices but that is just not happening. This is just getting more and more painful to watch.

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