Beleaguered RIM drastically cuts production of PlayBook flop

“Quanta Computer has reportedly cut back production lines for RIM’s PlayBook at its factory in northern Taiwan due to a large decrease in orders and has offered preferential compensation to lay off about 1,000 workers, according to industry sources,” Aaron Lee and Adam Hwang report for DigiTimes. “Quanta confirmed the layoffs but declined to comment on clients and orders.”

“In April, RIM forecast sales of 4-5 million PlayBooks in 2011, the sources noted. However, RIM shipped fewer than 800,000 units during the first half of 2011 and monthly shipments dropped to about 100,000 units in the third quarter, the sources said,” Lee and Hwang report. “In view of drastically shrinking ODM orders from RIM, Quanta quickly decided to downsize its production to minimize losses, although RIM has not indicated plans to withdraw from the tablet PC market, the sources explained.”

Read more in the full article here.

MacDailyNews Take: Delusional hubris hurts more than just the deluded. May DCW‘s batshit insane half-CEOs’ charade end sooner than later.

[Thanks to MacDailyNews Reader “Fred Mertz” for the heads up.]

19 Comments

  1. They will need to ramp up that production of the RIM’s PlayBook. When RIM starts the buy one PlayBook get another free, these puppies are going to start moving (to inventory). Then they will start selling the buy one BlackBerry and get another BlackBerry and PlayBook free.

    They could really get their percent of market share up with a “Just call us” and we will send you a PlayBook FREE.

    So, pick up that production and RIM will find some way to dump them somewhere. Money is no object. They are all in regardless of how much they loose or if people even want the crap tablet.

  2. What surprises me is that they’re still shipping 100,000 Playbooks a month. Are there really 100,000 out there with irreversible brain damage? Why would anyone with a sane mind even choose a 7″ tablet over a 10″ iPad that costs exactly the same? I don’t get it. They have to be shipping it somewhere. If consumers aren’t buying, then why are retailers stocking them on the shelves? What goes through the minds of people who buy this crap? Too many RIMjobbers out there still on crack cocaine.

    1. Focusing just on screen size and ignoring technical merits, there should be a market for smaller tablets. The iPad is a bit too heavy and unwieldy in certain circumstances (crowded bus for example).

      Think of it as a hardcover vs. paperback novel.

    1. You leave our mothers out of this, NoBlindness. And we sleep well with ourselves (???) just fine thank you. I (for one) will match my morality and sense of self-preservation with yours any day of the week. So get off your high horse . . . and go back to grammar school.

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