Research in Motion
‘The mobile OS platform war’
Sonal Kotecha
Eesha Palkar
Akshara
Dr. Ritesh Malik
1984
‘The Beginning’
RIM is started as an electronics &
computers consulting business
• Transmission of wireless data.
• R...
Waterloo
(Canada)
1988
‘RIM becomes the first wireless
data technology in North
America’
LED based terminal for General
Motor assembly line.
1992
‘The 2 way paging
innovation’
Conventional pagers could receive
messages but RIM developed a
technology for 2 way com...
Jim Balsille (Harvard
Alumni)
Joined Mike
Lazardis as Co-
CEO (1992) with
an investment of
2,50,000$
1993
‘Personal
Communicator’
A revolution in the field of wireless
messaging.
1995
Working Ventures Canadian Fund
Inc.
$ 5,000,000 is added to the cash reserves of
RIM for completion of the telecom ha...
1996
Inter@ctive
Introduces the first wireless
handheld to the market
1997
Initial Public Offering at
Toronto Stock Exchange
Raises $115 million
1998
‘Hello BLACKBERRY!’
Worlds first wireless handheld computer is
introduced in association with
BELLSOUTH, IBM & ROGER ...
Blackberry 850: The most
revolutionary product of the decade.
-NewYork
1999
NASDAQ it is
Raises $ 250million
Launches worlds first QWERTY based
computer handheld BB850
2001
Patent Infringement
US Federal Court asks RIM to pay
23.1million $ to Virginia based
NTP Inc.
‘Blackberry adds voice
capabilities with 5810 model’
2003
Blackberry banned
A judge rules an injunction of BB in the
states, but ruling stays.
2004
Milestone Anniversary
More than 1 million subscriber’s
worldwide
2005
Case continues
RIM agrees to pay $450 million to NTP
Inc.
Finally the case went up till the Supreme
Court
2006
Settlement
RIM finally pays 612.5 million $
BALSILLIE, THE SELF-DECLARED
"QUANT JOCK" WITH A HARVARD
MBA, GAVE RIM A NEW
BUSINESS-SAVVY
- WallStreet Journal (2001)
2007 (1st/2ndquarter)
• 10 million subscriber’s
• Most valued mobile technology company in
the world
• iPhone launched in ...
2007 (3rd/4thquater)
• Launches BB professional software
• Opens first BB branded store with wireless
giant retailers.
• 1...
The Craze Blackberry 1 the
President’s BB
http://www.youtube.com/watch?v=X
6p_6Ij56EA
RIM goes BOLD!
• 1st major radical new device with a beautiful
interface.
• Valuation touches $84 billion.
• Competition f...
How Ballmer laughed at iPhone
http://www.youtube.com/watch?v=e
ywi0h_Y5_U&feature=player_embed
ded
2009
• Online App Store to compete with Apple
Store
• Becomes worlds largest growing company
with average growth 77% over ...
2010
• Buys QNX Software Systems for inspiring
the next Blackberry OS’s.
• Launches Blackberry Storm (1st touch
screen wit...
2011 (the year of doom)
• PLAYBOOK opens to mediocre
reviews and pathetic sales.
• Job cuts 2,000 (10% workforce)
• First ...
RIM was the industry creator not
the follower.
Should never have launched a product
such as Playbook. Should have taken
ti...
The 3 days that changed
Blackberry’s perception
• Oct 10-13 2011.
• 3 day Blackberry system failure.
• 70 million frustrat...
Mike Lazaridis apologizes
http://www.youtube.com/watch?v=
Hqp7s5LRYuY
OUTRAGED USERS TOOK TO
TWITTER, TURNING
#DEARBLACKBERRY INTO A
TRENDING TOPIC
2011 A sad year for RIM
BBM hit by Whatsapp!
http://techcrunch.com/2013/04/16/whatsapp-bigger-than-twitter-with-over-
200m-monthly-active-users-8b...
2012
• Balsillie / Lazardis step down
• COO Thorsten Theil becomes the CEO.
• RIM hires investment banks JP Morgan/RBC
Cap...
The Era of Thorsten
Heins!
Turnaround for Blackberry
http://www.youtube.com/watch?v=V
bpDJr6MoqU
2013 (A new Blackberry
Era?)
• BB 10 opens to customers.
• Z10 the first touch based blackberry with the
all new User Inte...
The dancing stock!
What went wrong in 2011 ?
‘The company spent more time trying
to justify its existing smartphone
philosophy and less time ...
Segmentation of market for Blackberry
- Enterprise
- Government
- Consumer
Who are Blackberry’s biggest
buyers?
What kind of Brand loyalty did
Blackberry have till 2010?
-Who has used a Blackberry?
-Who have shifted from
Blackberry to...
What are the substitutes of
Blackberry?
Product differentiation
• Brand identification
• Customer Loyality
• Time to build...
Turnaround specialist
• Create an industry in itself
WEARABLE
• Something like Bizspark Microsoft
• Niche Blackberry’s (Do...
Innovation!
This is the only answer for turning
the wheel of fortune for blackberry!
Can you name a company which
had a si...
Apple has created an ecosystem
http://www.youtube.com/watch?v=k
I1rACgRYZc
Analysis of the failed enterprise
http://technorati.com/business/articl
e/5-reasons-why-blackberry-is-
losing/
http://buzz...
Management &
Business
Judgement
Exapnsion &
Diversification
Structural &
Heirarchy control
Markets, Marketing
& sales
Fina...
Product differentiation
• Brand identification
• Customer Loyality
• Time to build the loyality
Why did Blackberry compete on
prices? It was a niche phone not
a mass utility phone!
They should have segmented the
market...
Lesson to learn from APPLE!
They created an industry.. iPad (TABLET)
Become a market leader in innovation
Dr. Ritesh Malik
Positive Aspects of RIM
5 Reasons of RIMs Success
• Carriers liked Blackberry.
• Device management is included with
blackberry server.
• Security ...
Carriers
• Nokia signed a patent license deal in2012.
• Airtel launched Blackberry handsets in 2004.
• In the year 2007 Bl...
Customer Friendliness
• An education app was introduced in 2012 to
keep youth connected.
• There was a blackberry introduc...
Why was Blackberry so popular
• Blackberry launched the email concepts on the
go.
• The phones had svelete design, sharp s...
Celebrities
• US President Barack Obama had love for the
phone as it could be used for office related
work.
• In 2012 Blac...
Barack Obama
Ranbir Kapoor
At the country launch of Blackberry
Z10 on Feb 25th 2013.
Comparision
Phones Design Dimensions Camera Processor App Microsi
m
Battery
Life
RAM `
Blackbe
rry Z10
Round
ed &
rectan
g...
Phones
Z10
• It can be easily operated with one hand
• The interface of OS Blackberry 10 is
completely new.
• User friendly has i...
Q10
Eesha Palkar
FINANCIAL CRISIS
Contents
• Impact of Apple iPhone
• Disattraction from core business
• Compitition
• Late Acquisition
• Launch of Playbook...
Impacts of the Apple iPhone
• In 2007,Apple iPhone was introduced.
• The media attention led more consumer
attention towar...
Disatraction from core business
• Jim Balsillie was very big hockey fan.He
purchased hockey teams worth 1200 million
dolla...
Competiton from Google
• Google Android was launched.
• Initially Jan 2010,hardly 7.1% Smartphones of
Android were sold in...
Late Aquistion of QNX Softwares
• RIM management got a shock by the iPhone
success and aroused to a world where
smartphone...
Playbook
• In 2010,Playbook was introduced based on
QNX software.
• This innovation led to poor sales.
• The stock decline...
Service Interruption
• In oct 2011,there was service interruption for
3 days which affected the Blackberry users all
over ...
Leadership Problem
• Dual CEO structure was considered
dysfunctional management structure.
• Promoted a closed culture of ...
Other Criticisms
• Blackberry Phones were less attractive.
• Browsing Capabilities were poorer.
• Therefore developers did...
Financial Table
Financial Chart
Sonal Kotecha
Overview of market area
Blackberry
Competition analysis ,
Growth Forecast &
Attractiveness of the market.
SWOT
4P’s
Growth Forecast
Patent acquisition &
monetization
Headquarter shifting
Financial planning
Analysis of consumer
psychology
PEST analysis
Marketing
Creative market research
Development/Growth/introduct
ion/maturity/decline
Akshara Ravilla
Bibliography
• Wall Street Journal
• New York Times
• Forbes Inc.
• CNN money
• RIM-war of the OS platforms
• Youtube.com
...
A presentation by
• Dr. Ritesh Malik
• Akshara Ravella
• Eesha Palkar
• Sonal Kotecha
Harvard Consulting Group
Rim harvard
Rim harvard
Rim harvard
Rim harvard
Rim harvard
Rim harvard
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Rim harvard
Rim harvard
Rim harvard
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A presentation to discuss the rise and fall of RIM

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  • Why history? Learning the history helps u a lot..
  • RIM helped Waterloo a tier 4 city in the world to be recognized by the populations
  • Both the cofounders worked hard to produce technologies which would ease the communications process. What is wireless technology? Worked on modems and radios
  • In the early 1992 ML won an Oscar and an Emmy for developing a high speed film bar code scanner that rrevolutionisedhollywood film editing
  • Number 1 on the 100 most influential gadgets in the world.
  • BBM became a craze! 
  • Add businessqoutes! 
  • Rim harvard

    1. 1. Research in Motion ‘The mobile OS platform war’ Sonal Kotecha Eesha Palkar Akshara Dr. Ritesh Malik
    2. 2. 1984 ‘The Beginning’ RIM is started as an electronics & computers consulting business • Transmission of wireless data. • Radio Waves technology research. Mike Lazardis Douglas Fregin
    3. 3. Waterloo (Canada)
    4. 4. 1988 ‘RIM becomes the first wireless data technology in North America’ LED based terminal for General Motor assembly line.
    5. 5. 1992 ‘The 2 way paging innovation’ Conventional pagers could receive messages but RIM developed a technology for 2 way communication through electronic mail.
    6. 6. Jim Balsille (Harvard Alumni) Joined Mike Lazardis as Co- CEO (1992) with an investment of 2,50,000$
    7. 7. 1993 ‘Personal Communicator’ A revolution in the field of wireless messaging.
    8. 8. 1995 Working Ventures Canadian Fund Inc. $ 5,000,000 is added to the cash reserves of RIM for completion of the telecom hardware and software technologies.
    9. 9. 1996 Inter@ctive Introduces the first wireless handheld to the market
    10. 10. 1997 Initial Public Offering at Toronto Stock Exchange Raises $115 million
    11. 11. 1998 ‘Hello BLACKBERRY!’ Worlds first wireless handheld computer is introduced in association with BELLSOUTH, IBM & ROGER CANTEL wireless. 6 line display E-mail News/w eather 2 way paging Stock market Launches worlds first QWERTY based computer handheld
    12. 12. Blackberry 850: The most revolutionary product of the decade. -NewYork
    13. 13. 1999 NASDAQ it is Raises $ 250million Launches worlds first QWERTY based computer handheld BB850
    14. 14. 2001 Patent Infringement US Federal Court asks RIM to pay 23.1million $ to Virginia based NTP Inc.
    15. 15. ‘Blackberry adds voice capabilities with 5810 model’
    16. 16. 2003 Blackberry banned A judge rules an injunction of BB in the states, but ruling stays.
    17. 17. 2004 Milestone Anniversary More than 1 million subscriber’s worldwide
    18. 18. 2005 Case continues RIM agrees to pay $450 million to NTP Inc. Finally the case went up till the Supreme Court
    19. 19. 2006 Settlement RIM finally pays 612.5 million $
    20. 20. BALSILLIE, THE SELF-DECLARED "QUANT JOCK" WITH A HARVARD MBA, GAVE RIM A NEW BUSINESS-SAVVY - WallStreet Journal (2001)
    21. 21. 2007 (1st/2ndquarter) • 10 million subscriber’s • Most valued mobile technology company in the world • iPhone launched in the summer season. Not seen as a threat to Blackberry at the moment. • Alcatel Lucent partners with BB for China distribution which leads to a 8% increase in the market boost. • Valuation $68 billion.
    22. 22. 2007 (3rd/4thquater) • Launches BB professional software • Opens first BB branded store with wireless giant retailers. • 12 million subscribers (added 1.65million in 3rd quarter).
    23. 23. The Craze Blackberry 1 the President’s BB http://www.youtube.com/watch?v=X 6p_6Ij56EA
    24. 24. RIM goes BOLD! • 1st major radical new device with a beautiful interface. • Valuation touches $84 billion. • Competition from Apple. • Blackberry STORM is launched to a lukewarm response and mediocre reviews
    25. 25. How Ballmer laughed at iPhone http://www.youtube.com/watch?v=e ywi0h_Y5_U&feature=player_embed ded
    26. 26. 2009 • Online App Store to compete with Apple Store • Becomes worlds largest growing company with average growth 77% over previous years, in contrast to 27% for Apple.
    27. 27. 2010 • Buys QNX Software Systems for inspiring the next Blackberry OS’s. • Launches Blackberry Storm (1st touch screen with type QWERTY). • Acquires Astonishing Tribe.
    28. 28. 2011 (the year of doom) • PLAYBOOK opens to mediocre reviews and pathetic sales. • Job cuts 2,000 (10% workforce) • First year sales iPad 9.532 million Vs Playbook 405K (after reduction of prices and massive discount marketing).
    29. 29. RIM was the industry creator not the follower. Should never have launched a product such as Playbook. Should have taken time and launched a disruptive product.
    30. 30. The 3 days that changed Blackberry’s perception • Oct 10-13 2011. • 3 day Blackberry system failure. • 70 million frustrated users. • As a move to compensate the system failure, Blackberry gave a $100 coupon for the Blackberry App Store purchases.
    31. 31. Mike Lazaridis apologizes http://www.youtube.com/watch?v= Hqp7s5LRYuY
    32. 32. OUTRAGED USERS TOOK TO TWITTER, TURNING #DEARBLACKBERRY INTO A TRENDING TOPIC 2011 A sad year for RIM
    33. 33. BBM hit by Whatsapp! http://techcrunch.com/2013/04/16/whatsapp-bigger-than-twitter-with-over- 200m-monthly-active-users-8b-inbound-and-12b-outbound-messages-daily/ http://thenextweb.com/mobile/2013/06/13/whatsapp-is-now-processing-a- record-27-billion-messages-per-day/
    34. 34. 2012 • Balsillie / Lazardis step down • COO Thorsten Theil becomes the CEO. • RIM hires investment banks JP Morgan/RBC Capital to assist in reviewing its poor performance. • BB10 launch • 5000 job cuts • $518 million loss • Stock stoops to an all time low of $6.10.
    35. 35. The Era of Thorsten Heins!
    36. 36. Turnaround for Blackberry http://www.youtube.com/watch?v=V bpDJr6MoqU
    37. 37. 2013 (A new Blackberry Era?) • BB 10 opens to customers. • Z10 the first touch based blackberry with the all new User Interface. • Q10 the first touch & QWERTY on the knew UI. • $94 million profits for first quarter. • Name change to Blackberry. RIM is the dissolved. • Rebrands App Store and lures the developers to
    38. 38. The dancing stock!
    39. 39. What went wrong in 2011 ? ‘The company spent more time trying to justify its existing smartphone philosophy and less time getting ahead of trends.’ - Financial Times; December 2011 PROBLEM ANTICIPATION!
    40. 40. Segmentation of market for Blackberry - Enterprise - Government - Consumer Who are Blackberry’s biggest buyers?
    41. 41. What kind of Brand loyalty did Blackberry have till 2010? -Who has used a Blackberry? -Who have shifted from Blackberry to other phones and why? - Who are still on Blackberry?
    42. 42. What are the substitutes of Blackberry? Product differentiation • Brand identification • Customer Loyality • Time to build the loyality
    43. 43. Turnaround specialist • Create an industry in itself WEARABLE • Something like Bizspark Microsoft • Niche Blackberry’s (Doctors etc.) • Accessory base • Brand ambassador • Clear the structural clutter • Shift the base to Silicon Valley
    44. 44. Innovation! This is the only answer for turning the wheel of fortune for blackberry! Can you name a company which had a similar situation and got a buyout?
    45. 45. Apple has created an ecosystem http://www.youtube.com/watch?v=k I1rACgRYZc
    46. 46. Analysis of the failed enterprise http://technorati.com/business/articl e/5-reasons-why-blackberry-is- losing/ http://buzz.money.cnn.com/2012/06 /04/research-in-motion-blackberry/
    47. 47. Management & Business Judgement Exapnsion & Diversification Structural & Heirarchy control Markets, Marketing & sales Financial Accounting & Equity Technology & IP Govt regulations
    48. 48. Product differentiation • Brand identification • Customer Loyality • Time to build the loyality
    49. 49. Why did Blackberry compete on prices? It was a niche phone not a mass utility phone! They should have segmented the market instead of dropping the price. POOR STRATEGY!
    50. 50. Lesson to learn from APPLE! They created an industry.. iPad (TABLET) Become a market leader in innovation
    51. 51. Dr. Ritesh Malik
    52. 52. Positive Aspects of RIM
    53. 53. 5 Reasons of RIMs Success • Carriers liked Blackberry. • Device management is included with blackberry server. • Security was locked down. • Blackberry was comprehensive. • Blackberry was easy to use. http://www.youtube.com/watch?v=x6SDPelzcH A&list=PL08E661C7C9C04C5A
    54. 54. Carriers • Nokia signed a patent license deal in2012. • Airtel launched Blackberry handsets in 2004. • In the year 2007 Blackberry was made available on Reliance network. • BSNL also launched. • AT&T launched solar charging station for blackberry.
    55. 55. Customer Friendliness • An education app was introduced in 2012 to keep youth connected. • There was a blackberry introduced in 2009 for babies with help of LeapFrog. • Blackberry launched a global premium apparel brand in India. • MAX Health care started a Blackberry app for patients.
    56. 56. Why was Blackberry so popular • Blackberry launched the email concepts on the go. • The phones had svelete design, sharp screen,HD video capture. • Blackberry improved the gap between work & home • Blackberry became famous for its app BBM especially from 2010 to 2012. •
    57. 57. Celebrities • US President Barack Obama had love for the phone as it could be used for office related work. • In 2012 Blackberry smartphone makers RIM had roped in an Indian celebrity Ranbir Kapoor.
    58. 58. Barack Obama
    59. 59. Ranbir Kapoor At the country launch of Blackberry Z10 on Feb 25th 2013.
    60. 60. Comparision Phones Design Dimensions Camera Processor App Microsi m Battery Life RAM ` Blackbe rry Z10 Round ed & rectan gular 130mm*65 .6mm*9m m Chassis 8mp – rear & 2mp front Qualcom m S4 plus 1.5Ghz dual core Appro x 7000 0 Required !0 hours. Standby is 13days 2GB RAM Iphone Round & Rectan gular 130mm*65 .6mm*9m m chassis It has a retina display Apple A6 Dual Core Processor Appro x 9000 00 Required !0 hours 1GB RAM Samsun g Round & rectan gular 136.6mm* 69.8mm*7. 9mm 13mp- rear & 2mp - Front Quadcore 1900MHz, Krait 300 Appro x 5000 00 17 hours 2048 MB RAM
    61. 61. Phones
    62. 62. Z10 • It can be easily operated with one hand • The interface of OS Blackberry 10 is completely new. • User friendly has is there is BBM,BBM Voice,BBM Video. • Z10 is capable of image & video stabilization.
    63. 63. Q10
    64. 64. Eesha Palkar
    65. 65. FINANCIAL CRISIS
    66. 66. Contents • Impact of Apple iPhone • Disattraction from core business • Compitition • Late Acquisition • Launch of Playbook • Service interuptiom • Other criticisms • Financial Table
    67. 67. Impacts of the Apple iPhone • In 2007,Apple iPhone was introduced. • The media attention led more consumer attention towards Apple iPhone and then was called “Blackberry Killer”. • In 2007,initially iPhone sales lagged Blackberry sales. • In 2008,Apple sold 6.9 million iPhones and RIM sold 6.1 million which lead to downfall
    68. 68. Disatraction from core business • Jim Balsillie was very big hockey fan.He purchased hockey teams worth 1200 million dollars. • There were no innovations or patents made during this span of time. • This led to no change in RIM’s business from 2006 to 2009.
    69. 69. Competiton from Google • Google Android was launched. • Initially Jan 2010,hardly 7.1% Smartphones of Android were sold in comparision to 43% Blackberry devices. • Then in a span of 1 year Android’s sales increased(67.768) and Blackberry’s sales declined(7.63).
    70. 70. Late Aquistion of QNX Softwares • RIM management got a shock by the iPhone success and aroused to a world where smartphones with amazing UI where present. • To renew the damage they acquired QNX. • But further delay in the implementation of the software for Z10, Q10 caused significant damage to the companies reputation.
    71. 71. Playbook • In 2010,Playbook was introduced based on QNX software. • This innovation led to poor sales. • The stock declined from $70 to $15.8
    72. 72. Service Interruption • In oct 2011,there was service interruption for 3 days which affected the Blackberry users all over the world. • This outage led subscribers without e-mail access and other messaging services. • Rim attempted to placate by providing free applications worth over $100 to subscribers.
    73. 73. Leadership Problem • Dual CEO structure was considered dysfunctional management structure. • Promoted a closed culture of communications. • Lots of Lawyers and no action.
    74. 74. Other Criticisms • Blackberry Phones were less attractive. • Browsing Capabilities were poorer. • Therefore developers didn’t developed consumer applications for Blackberry. • Operating systems were dated and Hardware was unappealing.
    75. 75. Financial Table
    76. 76. Financial Chart
    77. 77. Sonal Kotecha
    78. 78. Overview of market area Blackberry
    79. 79. Competition analysis , Growth Forecast & Attractiveness of the market.
    80. 80. SWOT
    81. 81. 4P’s
    82. 82. Growth Forecast
    83. 83. Patent acquisition & monetization
    84. 84. Headquarter shifting
    85. 85. Financial planning
    86. 86. Analysis of consumer psychology
    87. 87. PEST analysis
    88. 88. Marketing
    89. 89. Creative market research
    90. 90. Development/Growth/introduct ion/maturity/decline
    91. 91. Akshara Ravilla
    92. 92. Bibliography • Wall Street Journal • New York Times • Forbes Inc. • CNN money • RIM-war of the OS platforms • Youtube.com • Vimeo.com • Competitive advantage (Michael E. Porter) • Harvard Business Review • Mint • Jakarta Business (THE POST) • Financial Times • The economics • Financial statements from Yahoo Finance.com • London School of Economics Study package for marketing • MIT Sloan Techology Review • Canada Technology Post • Times of India • Business Standard • Deccan Chronicle
    93. 93. A presentation by • Dr. Ritesh Malik • Akshara Ravella • Eesha Palkar • Sonal Kotecha Harvard Consulting Group
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