RIM may be rushing BlackBerry Colt QNX phone amid weak BlackBerry 7 sales

By on Sep 9, 2011 at 3:00 PM
Business September 9, 2011

Research In Motion is said to be rushing its first QNX-powered smartphone to market in light of underwhelming BlackBerry 7 devices sales. In a note to investors on Friday, Jefferies & Company analyst Peter Misek suggested demand for RIM’s new smartphones is not meeting expectations. An earlier report indicated that sales to enterprise customers have been solid thus far, while consumer demand may be lacking. Misek’s checks indicate that sales of BackBerry 7 phones to carriers is “just okay,” while sales of older BlackBerry smartphones continues to decline. The analyst believes follow up orders from carriers will also fall short of expectations, and RIM’s quarterly earnings could take a hit as a result. Read on for more.

Misek lowered his rating on RIM to Underperform from Hold, and he now estimates that the vendor shipped 12 million BlackBerry smartphones in the second quarter. He projects revenue and EPS for the quarter to come in at $4.4 billion and $0.77 compared to the Street’s consensus of $4.47 billion and $0.87. In the third quarter, which will reflect sales of BlackBerry 7 smartphones, the analyst is forecasting revenue of $4.8 billion and earnings of $0.92 per share. Wall Street expects revenue to come in at $5.5 billion with earnings of $1.36 per share, and RBC Capital Markets analyst Mike Abramsky on Thursday noted that RIM could even beat the Street’s consensus.

The analyst also mirrored earlier reports in his note, suggesting that RIM may be rushing to get its first QNX smartphone out the door. ”Based on our checks, we believe the phone is being rushed and features are being stripped,” Misek wrote. “Most importantly, the integration of BES/BIS email/calendar is proving difficult, and we think a QNX phone without these would be a disaster.”

Codenamed the BlackBerry Colt, BGR exclusively revealed preliminary details surrounding the first smartphone that will launch with RIM’s next-generation operating system based on QNX. At that time, we also stated that RIM is making several concessions in an effort to launch the device as soon as possible. We noted that RIM’s first QNX phone will likely ship without support for current versions of BlackBerry Enterprise Server, which provides businesses with RIM’s famous corporate email, calendar and other PIM services.

Though uncited, it is possible that Misek is basing his claims on this report, which has repeatedly been misinterpreted. Our source indicated that the BlackBerry Colt will launch without support for current versions of BES. Instead, RIM will release a new version of BES that will support both its QNX-based operating system as well as older versions of the BlackBerry platform.

Tags:
, , , , , , , ,
177 Comments

Related Articles

  • Anonymous

    Just another piece of Apple propaganda.

    Other analysts have upbeat articles about RIM today.

    Unsubstantiated BS designed to generate negativity toward RIM, aided and abetted by the ever willing BGR.

    Apple doesn’t need patents to fight RIM because it owns enough blogs.

  • ScroatFan

    Some people need toys more than phones that work, just slap an apple logo on an ipod throw in a phone antenna that works some of the time, and watch the sheep graze… Scroat!

  • Anonymous

    They do need to rush, they been left behind…But I do love my Blackberry Bold OS7. I Just wish it had auto focus.

  • ScroatFan

    Why is everyone getting bent out of shape over analysts? They never get it right and don’t know what customers want. If everyone listen to abramsky, rim would have been sold before the release of bb7. Scroat!©$

    • Scroatette

      <3

  • http://nomagichere.blogspot.com Marc Bernard

    That’s what I was thinking – rushing another product out the door before it’s ready is not going to fix anything.

  • Anonymous

    They really need to focus on getting QNX out. Never should have the OS7 phones out. Complete let down. 

  • Peter North

    Making me hard,BGR….Making me hard, BGR!!!!!

  • Anonymous

    the qnx phone isnt being rushed .. they had the dual core omap platform for over a year with the playbook .. scaling down to a phone isnt hard, just need to add the radio/comms bb.  probably just waiting for good timing so they dont cannibalize the os7 devices.  any articles about this being rushed is BS .. probably trying to kill the phone before its out ….

  • Anonymous

    Just because it will have QNX doesn’t mean it’s going to flock users back in.  It’s a totally different OS that is not really relevant right now.  Has it made old BB users get a Playbook just because it has QNX?  NOPE! Ya shoulda updated your own original OS to what the consumers were wishing and hoping for and stayed with the times.  Duhhhh!!!

  • Leroy Farted

    Meh. BGR is FOS as usual. Last month the 9900 was delayed until September, (not true) now they report that QNX is rushed.

  • Androidfuture

    its over ! new name for RIM is R.I.P (recycle ideas period) get out of the hardware industry once and for all and sell what’s left ur bbm technology to google and apple b4 its to late

    • Applesucksfatties

      shouldn’t you be charging your crapDroid phone…..or did it crash on you?

      • Androidfuture

        sorry it took a while to reply back – my droid did crash (lmfao)…next week your crapberry will be crashing too when rim is bought out by google

      • The Thrasher

        AppleFag boy is pissed because B App World doesn’t even have Angry Turds for his 9000 POS.

      • Applesucksfatties

        I don’t play games on my phone..hence the reason for me not owning an iToy.   

      • Applesucksfatties

        ps.  nevermind about the gold star…I missed the typical “gay” comment from the cyber stalker….

      • The Thrasher

        Get over it AppleSux- Apple is kicking RIM’s ass on every front. Soon it will be RIP RIM!!

      • Applesucksfatties

        @bc48a658477efd76a7f79f5feb1be95c:disqus the million dollar question is:  Since you hate RIM, why do you give a shit if they are around or not?   By being in business, is RIM hurting you in any way?  
        Personally, I don’t like Apple products but I don’t want them to go out of business as every company that goes under means higher unemployment and a deteriorating US/world economy.  

  • http://www.tabletaholic.com Tablet Deals

    I am confused there are only 3 blackberry selling on ATT and only one OS7 phone, that could be a reason why sales are slow? What would one expect when one of the biggest carriers is not even selling them….

  • Guest

    this site is as stupid as the analysts.

  • http://twitter.com/ElisaP13 Elisa Pacheco

    How is it that they are doing poorly yettt many stores in Canada and many here in the US are sold out and are having a hard time keeping them in stock. ? maybe not the 9810 or the 9850 but i do know the 9900 is doing quite well. Analyst have been predicting the death of RIM for a while now. its just words… lets wait til RIM announces their numbers on the 15th :)

  • http://twitter.com/jaytee1o4 jaytee1o4

    what’s the rush? The iphone 5 is going to sell a zillion pieces no matter anybody does. A new android phone comes out every 15 min. Until RIM gives the common users what they want (games silly GPS tagging games) their phones will never sell out. The next QNX phone can be a hologram that requires you to snap your finger to appear and it won’t sell……. Unless it has Angry Birds and Fruit Ninja running on it. And BES/BIS support will make or break QNX? Hahaha yeah ok BES/BIS isn’t helping the sells now 

    • Anonymous

      I need a device, not a toy

    • Applesucksfatties

      It is a sad state of affairs when the most sought out feature in a “smartphone” is whether or not it can play Angry Birds or other games.  Honestly, I’d rather play games on my Xbox360 or PS3…..but hey, I’m not one of those dullards or teenagers that craves over playing games on an iToy either.  

  • Hateloggingin

    The RIMJob Dingleberry Tardphone

  • Terry_in_Hali

    Let’s think this one through very carefully: (1) buy a BB 7 device right now, (2) wait three months for the QNX devices to arrive  or  (3) wait for six months to see how QNX performs.

    After careful consideration, about 15 seconds worth, I choose (c) wait for QNX and see what happens.

    • Anonymous

      I choose no. 1, just pre-order 9900 today. Last month was fasting month in Indonesia and people have other things in their mind, so carriers is starting taking pre-order this month.

  • Keita123

    Weak blackberry sales?? … Huh, I wonder if willy_jack is reading this post…(?).

  • http://MobileGenius.wordpress.com JM

    It is too bad that the current BlackBerry devices, such as the 9900, are probably not getting the respect that they are deserving of in comparison to the all-touchscreen competition. They are definitely better business tools than they are toys but I am so much happier when using the 9900 than when I am using the Sensation. The keyboard is certainly the main reason but so many other little bit just flow perfectly as well.

  • Darenjanes

    I am blackberry fan, but I can tell one thing that is killing sales for RIM. “ANDRIOD CHEAP EMAIL PLANS”. My Daughter wanted a Blackberry but I was too cheap to spring for the $50/Month Plan so she can read email. Instead she got some Andriod slider nonsense that can read/send email for $30 Month. Wakeup RIM! This legacy Email Costing model is going to sink the ship!

    • Applesucksfatties

      I’m not sure what carrier you are with, but my unlimited data plan with AT&T is about $30-35 a month…and I know they have a 2 gb plan that is only $15 per month.

      • The Thrasher

        You DUMBASS. AT&T had data caps fuckface. 2GB is $25, 200MB is $15.

        Your a total dumbfucker.

      • Applesucksfatties

        Dude.. .you are a total tool.  I messed up the data #s.. but the amount was right.. and you, with your reading comprehension issues, missed the whole point that I was making to Daren about the data plans being far less than $50..   GET A LIFE DOUCHE!!!!

      • Applesucksfatties

        ps.  I realize that AT&T has data caps.. but I am also grandfathered in to their unlimited data plan. …so who is the dumbf*cker now?

        pss.  Again.. cyberstalker.. what do you care?  You hate RIM so get lost!!

  • Anonymous

    Wow, like to know their “sources”? I have heard from other reports that sales of the Bold 9900/9930 are very good with some places out of stock. The 9850/9860 are not as good and the 9810 is probably doing the poorest which is a shame because it is a nice phone but to much like the original 9800. So while I think these analyst are off and most of the stock research I have done has RIM as a hold more than anything.

  • Anonymous

    You mean to tell me they’re actually surprised no one jumped on the BB7 bandwagon?! This company really is in a lot of trouble…

  • Heythereguests

    Colt QNX? How about Packers QNX?

  • Guerllamo7

    I had to go to three stores to get my OS7 phone and it has sold out of several carriers in the U.S. and U.K. so why are people stating it that way. Did apple rush to market with their iPhone4 that was confirmed to drop calls and consumer report said not to buy it?

1 2
blog comments powered by Disqus