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The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) is the second government agency to leave BlackBerry this year

BlackBerry maker Research-In-Motion (RIM) has lost two U.S. government agency which used its services, and will now cut the fees it charges for BlackBerry service in an attempt to prevent anyone else from leaving. 

Last month, the National Oceanic and Atmospheric Administration (NOAA) announced that it would let go of its BlackBerry servers by June 2012 in an effort to cut costs. And we recently reported that the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) is following suit. 

RIM has its own network infrastructure where it can encrypt, compress and direct data to BlackBerry devices through its cellular network. This seemed ideal for the workplace, where BlackBerry phones quickly became popular.

However, fees that RIM charges carriers for the BlackBerry service has put a bit of financial strain and headache on those carriers. Also, competition like Apple's iOS and Google's Android-based smartphones are beginning to be used in the workplace, and offer more user-friendly features as well as improved security features without the added costs of the BlackBerry service. In other words, BlackBerry devices are not the only suitable professional smartphones on the block anymore.


[Source: karenvaughn.com]

RIM now says it plans to slash the fees it charges carriers for BlackBerry service at some point this year in an effort to save itself from losing anymore customers. It also plans to introduce its BlackBerry 10 smartphones in late 2012 as well as new software called Mobile Fusion, which allows "core enterprise customers" to manage the company's competitors' devices.

RIM was also hit hard last October when BlackBerry customers around the world experienced a service blackout. Customers from the U.S., Canada, South America, Europe, the Middle East, India, and Africa had problems with messaging and browsing for four days, which can be detrimental in a workplace.

RIM is clearly beginning to feel the pressure, as RIM shares fell 4.3 percent to $13.20 on Monday afternoon. Since February 2011, RIM has lost 80 percent of its value because of its unimpressive product launches and bleak earnings as well as reduced U.S. market share.

Source: Reuters



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Stupid move
By amanojaku on 3/6/2012 11:44:07 AM , Rating: 0
Slashing fees makes people think you were ripping them off before. If you weren't, you're operating at a loss now. And high fees isn't the problem; the problem is the obsolete phones.

The Who had it right: Meet the new boss. Same as the old boss.




RE: Stupid move
By MeesterNid on 3/6/2012 12:03:41 PM , Rating: 2
So you'd have them continue losing business, but by golly they'll keep their fee structure in place...all way down into bankruptcy court! Since, as you said, their hardware is very dated they have to lower fees in order to attract business and/or stop hemorrhaging customers.

quote:
If you weren't, you're operating at a loss now.


Really? How about a lower profit margin? Still making money just not as much though better than nothing.


RE: Stupid move
By Cerin218 on 3/6/2012 2:16:46 PM , Rating: 1
No, I want them to go out of business because their phones are a PITA to administer. I appreciate that their phones can't do what everything else does natively and that is sync with Exchange. I know why, but unless you work for the government 95% of the people that use Blackberry don't need that level of security. It's fun when the end user randomly gets their calendar and contacts corrupted for no particularly good reason too. Every time we get a help desk call about a Blackberry we are torn between cringing and laughing. Won't be saddened at all when they finally croak.


RE: Stupid move
By dark matter on 3/6/2012 5:48:24 PM , Rating: 2
You need a different job if you don't like helping people with their technical issues.

Or, dare I say this, you would be out of a job if wasn't for people with technical issues.


RE: Stupid move
By Flunk on 3/6/2012 12:24:34 PM , Rating: 2
Nah, that's silly. iOS is a closed system. What they need to do is switch from rolling their own OS to taking Android, skinning it and adding a few apps. This will let them have all the advantages of selling modern Android phones with all the Blackberry services and they can still sell their hardware, which is where they make their money.


RE: Stupid move
By Flunk on 3/6/2012 12:27:23 PM , Rating: 2
I really though I hit reply to the thread about iOS.


RE: Stupid move
By retrospooty on 3/6/12, Rating: 0
RE: Stupid move
By omnicronx on 3/6/2012 2:37:04 PM , Rating: 2
The problem is people oversimplying something to prove their point.

You probably know damn well that the BES model does much more than what you have stated, without the use of third party tools which guess what, you have to pay for if you are using an exchange only model..(if they exist at all)

Not to say the exchange model cannot be more than enough for many users, but there are many benefits for using BES in large scale enterprise deployments.


RE: Stupid move
By Pirks on 3/6/2012 2:45:48 PM , Rating: 1
retro has no knowledge of basic facts about things like BBM, so don't expect lots of smart thoughts about RIM from him


RE: Stupid move
By retrospooty on 3/6/2012 3:16:58 PM , Rating: 1
"retro has no knowledge of basic facts about things like BBM, so don't expect lots of smart thoughts about RIM from him"

Actually, what I stated was true, and as for first hand knowledge, I am a network admin at a company that has a BES. It is actually part of my job to deal with it... Its being phased out. As users 2 year contracts are up, they get to choose their own phone. No-one is taking Blackberry.

Your just bent because you are backing a loser and have made way too much of an ass of yourself on the subject to back down now.

How's RIM doing lately? Stock at yrt another new alltime low, and RIM announced they wont be making thier already lowered sales expectations this quarter.


RE: Stupid move
By Pirks on 3/6/2012 3:21:43 PM , Rating: 1
quote:
what I stated was true
Your old BS about BBM being introduced in 2009 or so is as far from truth as it gets.


RE: Stupid move
By retrospooty on 3/6/2012 3:36:40 PM , Rating: 1
Ya, I had the date wrong on an irrelevant product that I dont use. What of it? how does that effect antything in this article?

Here is what is going on at RIM.

http://www.fool.com/investing/general/2012/03/05/r...

http://blogs.wsj.com/marketbeat/2012/03/06/analyst...

When the quartlies come out at the end of this month it will be undeniable. Global drop in sales in and industry that is booming at an extraordinary rate.

Insults aside, this is really whats happening. The sales #'s alone wouldnt be an issue large enough to kill RIMM. RIMM has the sales to make profit and could stay afloat with some downsizing IF they werent so big. IF RIM were always the same size it would be OK, but since RIM was huge and many investors are losing too much money when the stock drops to less than 1 11th its previous value, they need to get thier money out.

Because of that RIM cant stagnate for anotehr year. They will be forced to sell it off so the investors get some amount of $$$ back. You watch. By 2012 there wont be a RIM, at least not an independant company called RIMM.


RE: Stupid move
By retrospooty on 3/6/2012 3:38:04 PM , Rating: 2
bah, bad typing. By the end of 2012 , RIM will be sold.


RE: Stupid move
By omnicronx on 3/6/2012 3:38:38 PM , Rating: 1
I'll be watching.. Watching RIM sell off their hardware assets and become a service-based company whose main product will be.. can you guess?? BES related services..


RE: Stupid move
By retrospooty on 3/6/2012 3:48:04 PM , Rating: 2
That is very possible. Or they could just sell off the patents and IP to another company, MS, Samsung, Google, someone with deep pockets that can use the IP. Either way, RIM cant continue as they are.


RE: Stupid move
By omnicronx on 3/6/2012 3:59:41 PM , Rating: 2
I think we can both agree that RIM will not be the company it is today ;)


RE: Stupid move
By Pirks on 3/6/2012 4:49:46 PM , Rating: 2
Could be said about any company though. Apple won't be the same, MS too. So what?


RE: Stupid move
By jimbojimbo on 3/6/2012 8:49:26 PM , Rating: 2
I'm not a big fan of BB but if you manage the company's BES you ought to be canned.

First off the BES not only gives you contacts, email, and calendar you also get tasks and notes which no phone right now, except Windows Mobile 6.x, has natively. That's a big thing.

Also, you forget the service provider towards the end of your flow. This makes things worse but I just wanted to mention it because it directly supports your argument yet you forgot it which is a major hop in the transport of information from BES to BB. This just shows you don't know anything.

Me, I manage Exchange and BES. Most companies know that they can use the "bring your device" strategy to hire and retain employees so user demand is in a way determining our policies. I'd say within another year we'll be almost completely off our BES and good riddance.


RE: Stupid move
By retrospooty on 3/6/2012 3:12:28 PM , Rating: 2
"The problem is people oversimplying something to prove their point. You probably know damn well that the BES model does much more than what you have stated"

I know it adds security, and if your business is dealing with something highly secure like Sandia labs or similar, agreed. Blackberry is hte best solution for mobile mail. But that is a very small percentage. For most companies, exactly what I wrote is true. That is exactly why we are phasing out Blackberry in my company and I know we arent alone in that.

Cerin218 siad it well. "unless you work for the government (I would add a few other entities) 95% of the people that use Blackberry don't need that level of security. "


RE: Stupid move
By omnicronx on 3/6/2012 3:31:00 PM , Rating: 2
I'm not merely talking about security, I'm talking about anything from deployment, to support tools. OOB BES is unmatched for large scale deployments. (not to mention everything is integrated and supported by RIM)


RE: Stupid move
By retrospooty on 3/6/2012 3:45:23 PM , Rating: 2
It does have great deployment tools, I'll give you that... Its easy for IT... The issue is its not really needed.

As cool as it is that I can manipulate a phone on the east coast from my AZ office, remote wipe it, d/l the latest firmware to it, reset various PIM setting etc etc. As great as the tools are, I just don't need to use it. Most phones these days (RIM's included) just work without a whole lot of support needed from IT. If you have alot of issues with your BB users, that you need the tools on a regular basis. you probably dont have it set up right.


RE: Stupid move
By omnicronx on 3/6/2012 3:58:53 PM , Rating: 2
That may be your opinion, but tell that to a team managing 5000+ devices's and they probably won't be singing the same tune.

Or do you think its fun having to support a device like say the iPhone/Android in which users have free reign to do things like update their OS even though it has yet to be tested?


RE: Stupid move
By retrospooty on 3/6/2012 5:17:54 PM , Rating: 2
"That may be your opinion, but tell that to a team managing 5000+ devices's and they probably won't be singing the same tune."

I would tell them to learn a new Tune, becasue like it or not, RIM is going buh buy soon.


RE: Stupid move
By Pirks on 3/6/2012 2:39:54 PM , Rating: 2
quote:
adding a level of complexity
Can't have additional security without additional complexity


RE: Stupid move
By tamalero on 3/8/2012 12:35:06 AM , Rating: 2
I think the "old phone thing" is just another drop in the bucket.

Anyone remembers how bad the reliability of the service were these days?
mayor crashes in Europe and many American countries (Mexico had 3 outages in a row for example)


“And I don't know why [Apple is] acting like it’s superior. I don't even get it. What are they trying to say?” -- Bill Gates on the Mac ads














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