Sean Farhy writes for Seeking Alpha, “Here’s a list of reasons why RIMM is in play:
• RIMM has no debt, a future p/e of 9x and future price to revenues of less than 1x.
• RIMM”s market cap is now under $15 Billion.
• RIMM controls 8% of the hardware market, and 25% of the smart phone market.
• RIMM has excellent branding and inroads when it comes to the “corporate client.”
• RIMM’s new Playbook note pad could make an excellent product line for one of the companies listed below to venture into.
• QNX, RIMM’s new Blackberry operating system, is where the bulk of RIMM’s R&D is being spent. A discontinuation of QNX and elimination of more employees could add value to the equity side by reducing expenses and preserving assets.
• RIMM has over $4 in cash per share.
Farhy writes that one of the potential acquirers is Apple: “Apple would certainly be ironic, as five years ago there were only two players (APPL & RIMM) in the now extremely crowded smart phone space. Apple could conceivably buy it to get RIMM out of the way, as it’s been a thorn in its side; to enter into the corporate and business side of the market, making it more than a ‘gadget’ company; and/or to create an iPhone / Blackberry combination that could be a dominant force in the smart phone market and winning back market share from Google’s Android. I still view this as extremely unlikely union because of the Playbook factor, but I have warmed more to this becoming a potential reality after RIMM’s earnings.”
MacDailyNews Take: Apple has already entered the corporate market with both iPhone and iPad. They don’t need RIM. Now, what “PlayBook factor?” It’s already dead (see: Beleaguered RIM slashes PlayBook production plans – June 22, 2011). All any company would need to do is mercifully pull the plug. And Apple is already winning back share from Google’s derivative Android.
Farhy writes, “Microsoft is our most logical choice…”
Read more in the full article here.
MacDailyNews Take: Taunting Ballmer T. Clown with yet another stupid acquisition idea is decidedly cruel, but oh so enjoyable.
[Thanks to MacDailyNews Reader “Fred Mertz” for the heads up.]
Leave it to a Mac site to have a bunch of apple-flavored Kool-aid drinkers trying to objectively discuss a topic they have no clue about. It’s kinda like having a bunch of Birkenstock repairmen discuss Corporate Finance.
I am a BlackBerry user for work because it’s an irreplaceable tool for business communication. I have an iPhone for personal use, because it’s just plain cool. One is a tool, the other a toy.
Just take a look around you – there’s a reason that anyone that has a collar on (and a job for that matter) is carrying a BB. Everyone carrying an iPhone looks like they’re on vacation.
RIM has gone through this up/down market before, and discussions about being acquired have come and gone twice a year. A sell-off would require gravestones over Balsille and Lazaridis’ heads. Not gonna happen.
You clearly haven’t a clue yourself. We have more than 20 iPhones in our senior management group after abandoning RIM in January. The iPhone offers far better functionality and flexibility, with a wider range of capability. The Blackberry is so far behind the times it is unreal.
The iPhone is far more than a tool while the BB is a relic.
Woooh, 20 huh? That must have RIM running.
Here’s how iPhone fails in what matters most to Business functionality:
BB Push vs iPhone push (but not really) = one point for RIM
BB Email Security Authentication vs iPhone Security = ahem, again RIM
BB BES vs iPhone IMAP = common, why are we even having this discussion?
Don’t get me wrong, I’m not an iPhone basher – I love my iPhone. But just cuz BB doesn’t have bubbly icons that bounce around on the screen, doesn’t make it ‘behind the times’. Oh, and just because you have 200,000 apps, doesn’t make them all anywhere near useful.
Howard – by the way, can you explain ‘functionality’, ‘flexibility’ and ‘capability’? or do you need one more word to get a line in the “N” column of buzzword bingo? Here’s one….Kool-aid.