Analyst: RIM must split to save itself
A prominent analyst believes the ailing Research in Motion (RIM) should be split into two parts: a phone business and a network operations division.
"RIM's organization, like its handsets, needs modernization," RBC analyst Mike Abramsky stated in a note to investors obtained by PCMag.
According to Abramsky, QNX - RIM's latest OS - boasts lots of potential, but has thus far been negatively affected by "gross mismanagement."
Indeed, the QNX-powered BlackBerry Playbook, which was poorly received by numerous journalists and analysts, can hardly be considered a stellar success.
"QNX is [most definitely] not a panacea," Abramsky emphasized.
"Although QNX appears strong, if QNX doesn't work, or further mis-execution undermines RIM's turnaround, then RIM will be left without a 'plan B.' [As such, RIM must] split the Berry."
It should be noted that RIM shareholders heckled co-CEOs Mike Lazaridis and Jim Balsillie during a general meeting this past Tuesday.
"You're letting Apple and [Google] Android eat your lunch," one angry investor alleged. "[Yes], you're an innovator, but you're [obviously] not good at selling what you make."