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RIM posts huge fiscal Q1 loss, cuts 5000 jobs, delays BlackBerry 10 until 2013

RIM reported their fiscal Q1 2013 earnings today, and things are looking very bleak. The company posted an operating loss of $518 million on $2.6 billion in revenue, which represents a 33 percent decrease from last quarter. RIM managed to ship just 7.8 million BlackBerry phones, and 260,000 PlayBook tablets during the quarter.

As a result, RIM announced that they are cutting 5,000 jobs as part of a company-wide restructuring. Even worse, BlackBerry 10 has been delayed until Q1 2013, all but signing RIM’s death certificate.

Thorsten Heins, RIM CEO, explained the delay in a statement released today. “RIM’s development teams are relentlessly focussed on ensuring the quality and reliability of the platform and I will not compromise the product by delivering it before it is ready. I am confident that the first BlackBerry 10 smartphones will provide a ground-breaking next generation smartphone user experience.”

Looking forward, RIM sees more tough times ahead thanks to the delay of BlackBerry 10 and declining sales of existing devices. The company expects to post another operating loss in Q2.

Source: The Verge [1], [2], MarketWatch

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2 thoughts on “RIM posts huge fiscal Q1 loss, cuts 5000 jobs, delays BlackBerry 10 until 2013

  1. Pingback: Will the New Blackberry Save RIMM? | SEOpRADA.COM

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