RIM’s backlog hits $1 billion worth of unsold BlackBerrys and PlayBooks

By , May 29, 2012

Just as we thought things couldn’t get any worse for the embattled BlackBerry maker Research In Motion, more bad news hits the wires on a daily basis.

It’s been revealed today just how unimpressed customers are with RIM’s current lineup of BlackBerry smartphones and the PlayBook tablet, as these two product categories now commanded a staggering backlog of $1 billion in unsold inventory in the last quarter, up from $618 million a year earlier…

According to Bloomberg:

The value of RIM’s in-house supplies grew 18 percent last quarter alone, a faster rate than at any other company in the industry, according to data compiled by Bloomberg. And that doesn’t include the BlackBerrys gathering dust at RIM’s carriers and retail partners. Apple Inc. (AAPL), meanwhile, saw its inventory decline 11 percent in the period from the previous three months.

Apple?

Well, Gartner says Apple sells its inventory in five days, indication of both operational efficiencies largely attributed to Tim Cook and the ever-growing demand for its gadgets.

The Canada-based company, whose market cap sat at just $5.88 billion at post time, also cited today “the on-going competitive environment” as it warned investors to brace for an unspecified operating loss.

In an effort to turn things around, RIM added two new executives to its roster, chief marketing officer Frank Boulben and chief operating officer Kristian Tear, and is reportedly planning to cut more than ten percent of its global workforce, or approximately 16,500 employees.

Despite having bigger worries on its mind, RIM along with Motorola and Nokia is fighting Apple’s proposal for an emerging miniature SIM standard called Nano SIM.

The company recently staged an awkward promotional stunt outside Apple’s retail store in Australia and created a mini website that invites businessmen to “wake up and be bold” with a crawler stating “you don’t just think different, you do different”.

Whether or not this marketing tactics manages to breathe new life into the BlackBerry platform will be seen. As you know, RIM recently y unveiled its new BlackBerry 10 OS which looks pretty nice, though phones and smartphones driven by it won’t arrive before this year’s end.

And they’re not turning to bankers for help as they explore “options”, though the troubled company didn’t say whether it was now looking actively for a buyer.

And according to the usually well-informed Wall Street Journal, its new CEO Thorsten Heins “has said he isn’t looking to sell the company but also declined to rule that out”.

One possible buyer?

Facebook, which just collected billions through its initial-public offering (viewed as a failure, if not fraud) and is apparently looking to build its own phone (another bad idea).

With so much bad press tarnishing RIM’s reputation, no wonder the company refused to make its CEO available for some hard talk at the D10: All Things Digital conference.

Unlike RIM, Apple dispatched Tim Cook sit opposite Walt Mossberg and Kara Swisher, who will pepper him with questions on a range of topics today at 6PM Pacific, 9PM Eastern. This will be Cooks first major interview since taking over the CEO post last August.

I guess RIM figured this would be the last thing they needed.

And who could blame them.

We all knew braver men fell prey to Mossberg’s interviewing style.

Remember how last year Adobe CEO got Mossbomb spectacularly dropped on him?

Here’s that epic moment.

The celebrity technology columnist also dropped hammer on AT&T Mobility CEO Ralph de la Vega over his company’s failure to address network problems.

IS there any hope for RIM left?

I sure hope so, they’re still a great company.

Unfortunately, my fear is that it’s too late for them now.

What do you think, will RIM re-innovate itself through this downturn?

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  • jose castro

    down goes RIM……….. they sucked anyways………..hahahahahaha

  • http://www.facebook.com/profile.php?id=602498692 Benn Steward

    so this is where all the money missing from the economy goes; company’s like RIM. Great.

  • http://twitter.com/drewstone2 drewstone

    i smell a fire-sale similar to the touchpad from last year!!

  • http://www.GoldenGateDomains.com/ Golden Gate Domains

    The only thing that would really make this a full blown “train wreck” is if Facebook were to purchase RIM with their newfound wealth!!! LOL!!!

  • http://twitter.com/Plazmer Ahmed Muhammad

    And their telling Apple to Wake Up?! -.- lol

  • http://twitter.com/thegabrielk Gabriel K

    the adobe CEO just got ripped a new one. ouch. also, on the backlog thing, I’d take em at a discounted price if nobody wants to buy them xD

  • http://twitter.com/kriss631 Kriss Zavala

    I think RIM should stop trying to compete and beat Apple and should worry about trying to be something new and different. I love My iPhone but at times It gets boring with the same format even with dreamboard and winterboard. If they come up with a new format new thing then yes they can compete with apple on a different level. what do you think @christian ??

    • jose castro

      i say…….. they need to do something new like printers hahahaha

  • Anonymous

    But blackberry only has problem selling in the United States here in south america or Spain almost every teenager has its own blackberry due to BBM.

    I think they should focus on this markets only if they want to be a reference in the mobile market because Android is coming here with Samsung leading!!!

  • http://www.facebook.com/people/Thomas-N-Shanna-Bernauer/100002948594321 Thomas N Shanna Bernauer

    “you don’t just think different, you do different”. That’s like saying the same thing twice?!? RIM- you sir are a idiot..

  • http://www.facebook.com/profile.php?id=761589249 Aldrich Sinel

    Iphone Rules..:)

    • http://www.facebook.com/profile.php?id=100003242081217 Michael Vhan Patrick

      you mean idevices rlz (iphone , ipad , ipod touch)

  • http://twitter.com/MCaudebec Maxim∑

    Yeah RIM “Research In motion” is not in motion……..

  • http://www.facebook.com/AKChris82 Chris Williams

    My First Smart Phone was a BB and @ the time..they were REALLY on Frontline’s of the industry. Now it just seems that they are just lack lustering their models. I liked the Storm..which of course was a touch screen..I thought it was innovative, BUT..it seems that every year they come out with a new model it looks the same as the pervious Model. They don’t need to make a Facebook phone..i think that would be a HUGE mistake to venture into that with Facebook..Rim is already like the titanic..Why add more water to make it sink faster.

    • http://www.facebook.com/profile.php?id=100003242081217 Michael Vhan Patrick

      is nice to see that you already WOKE UP :)

  • http://www.facebook.com/profile.php?id=100003242081217 Michael Vhan Patrick

    i used to have a BERRY then I WOKE UP …and now I have an ipod touch 4 :)

  • http://www.facebook.com/profile.php?id=100003242081217 Michael Vhan Patrick

    mass effect 3 ending > blackberry

  • https://twitter.com/#!/alexjdz Alex Diaz

    Am I the only one feeling sorry for the workers that are getting kicked? /:

  • http://www.facebook.com/profile.php?id=100000117966130 Hamada Surdawe Bazzar

    Jeff, I know this is off topic but will Redsn0w be updated for IOS 5.1.1 untethered jailbreak?

  • http://www.facebook.com/HudyG Yehudah Griffin

    I think Zuckerberg should buy RIM. Then, we will witness his descent from 40th richest in the world to complete and utter mediocrity (or failure).

    That’s what happens when you can’t get enough.

    BTW, if anyone has a Playbook they want to give me, I’m game.

  • Anonymous

    for the record… i have zero brand loyalty

    i love and follow smart tech (pda, computers, phones… all)

    i’ve dropped palm in favor of symbian then winmo then switched to iphone (jailbroken), and on the way, i’ve picked up blackberry then dropped it to go to android (rooted)

    i now enjoy the best of both worlds (ios & android)

    i don’t care who wins as long as they are innovating while doing battle (though i think they could do well _really_ talking it out rather than keeping the layers happy)

    i loved bbm (software), but loathed blackberry (hardware)

    if i were holding the reigns at blackberry, i’d do whatever it takes to put bbm out on iOS and android

    imagine bbm10 on iphone and android…
    now imagine bbm10 on a jailbroken iphone and a rooted android!!!

  • http://www.iPhonecaptain.com Mitch

    Photo wrong here too. Check home page photo. Just a beads up

  • http://twitter.com/Chindavon Chindavon

    RIM= Retards In MowShun