CEO: RIM is not grim
Jul 3, 2012 / 6:42 am
Research In Motion chief executive Thorsten Heins says "there's nothing wrong with the company as it exists right now" and he's confident it will get past its current challenges.
Those hurdles include layoffs of about 5,000 people, faltering sales of its BlackBerry smartphones, a delay in bringing out the new BlackBerry 10 technology and a tanking stock price
Heins defended Canada's leading technology company in a CBC Radio interview, part of RIM's efforts to convince customers and investors that it can survive intense competition from Apple and other competitors.
He said the major changes that RIM has made to its management and business objectives since he became CEO in January are part of a massive transition to a whole new technology platform.
Heins acknowledged RIM faces a challenge to regain market share in the United States but said the company isn't in a "death spiral."
He says sales in other parts of the world remain strong and argued the transition to the BlackBerry 10 will be more than a product launch, it will be a completely different way for RIM to address mobile computing.
"There's nothing wrong with the company as it exists right now," Heins said on CBC's Metro Morning radio show Tuesday morning.
"I'm not talking about the company as I, kind of, took it over six months ago. I'm talking about the company (in the) state it's in right now."
He later addressed the perception that RIM's future is in doubt, given the product delays and intense competition from devices from Apple and using Google's Android operating system.
"This company is not ignoring the world out there, nor is it in a death spiral," Heins said
"Yes, it is very, very challenged at the moment, specifically in the U.S. market. The way I would describe it: we're in the middle of a transition," he said. "All that is in the making, it's in the works. This company is in the middle of it and I'm positive we will emerge successfully from that transition."
The new BlackBerry 10 operating system and phones have widely been considered a last-ditch effort to save the company, which has lost significant market share to the iPhone and Android phones.
At least one analyst questioned how RIM could successfully execute the release of its new phones amid mass layoffs.
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