It looks like we may never see BlackBerry 10 as RIM pushes the OS back to 2013.
RIM announced a loss of $518 million on a revenue of $2.8 billion in its Q1 2013 earnings call. That amounts to a loss of $0.99 per share diluted. For perspective, RIM posted a loss of $0.24 per share diluted on $4.2 million revenue in Q4 2012.
RIM only managed to ship 7.8 million BlackBerry phones and about 260,000 PlayBooks this quarter. That’s way down from the 11.1 million BlackBerrys and more than 500,000 PlayBooks of the previous quarter.
Along with the losses, RIM announced the first BlackBerry 10 devices won’t ship until the first quarter of calendar year 2013. Until recently, the company remained firm that BlackBerry 10 would ship by the end of 2012. Now the OS will miss the holiday season when iOS and Windows Phone will see big updates.
To make the news even worse, RIM will also cut 5,000 jobs during its fiscal 2013, so at least 5,000 RIM employees will lose their jobs within the next 9 months or so.
From the abysmal quarter, it sounds like RIM is dying before out eyes. At the rate its going, the company might not ship any BlackBerry phones by the time BlackBerry 10 is set to arrive. We can’t imagine the company lasting long enough to ship the next generation of its smartphones in a last-ditch effort to maintain (or regain) relevancy. The company might have to sell off at least one part of itself in order to survive much longer.
It’s almost sad to see RIM performing so poorly, if only because it was one of the first companies to make smartphones. It’s also always sad to see anybody lose their jobs. On the other hand, RIM failed to move fast enough to compete with the iPhone, so it’s hard to feel sorry for the company.