Remember the Blackberry? I’ve used it for years. Goldman Sachs just upgraded RIM (Research In Motion) sending stocks to soar. Of course, everything hinges on the on the new Blackberry 10 smartphone. Goldman changed RIM’s outlook from Nuetral to Buy, while changing next year’s target price from $9 to $16. Here are some highlights from Yahoo’s article.
Research In Motion rose Thursday after Goldman Sachs upgraded the phone maker’s shares, saying there’s a “30 percent chance” RIM’s much-delayed BlackBerry 10 smartphones will be a success.
Goldman Sachs analyst Simona Jankowski lifted RIM to “Buy” from “Neutral,” the latest analyst to voice a slightly more optimistic view for the troubled company. Goldman lifted its 12-monthprice target to $16 from $9.
RIM was once Canada’s most valuable company, with a market value of more than $80 billion in 2008, but shares have sunk due to ground lost to Apple Inc.’s iPhone and phones running Google Inc.’s Android system.
Shares of Research In Motion added 67 cents, or 6.4 percent, to $11.77 in midday trading on the Nasdaq. The stock is up 78 percent since late September — but it’s down 23 percent this year through Wednesday’s close, and has lost more than 90 percent from its 2008 high.
Does Steve Jobs really hate the Android? Probably not. Hate is a such strong word. But he does have to play the part. That part is, where he puts down his competition and promotes his own product. Jobs claimed that the Android is too fragmented?
Jobs’ comment about fragmentation is based on Twitter Deck’s challenge to develop software for hundreds of handsets. Supporters of the Android were quick to point out that Android development is focused only in three versions of the Android. Versions 1.5, 1.6 and 2.1, and half of the devices these days run on version 2.1.
iPhone development is based on tight control, while the Android is based on open development. There is good reason that both approaches can work. At the moment, the Android is ahead of the iPhone and the Blackberry in terms of market share. And that is probably the reason why Steve Jobs is acting the way he does.
It seems like RIM hasn’t learned its lessons. The dreaded trackball issue seems to be resurrecting with each passing product. In this case, it’s the Blackberry Tour. Users have been returning the Tour at a high rate, at 50%, due to the trackball being stuck. Users must repeatedly move the trackball cursor to navigate the menu. The problem is similar to the old mouse with trackball and rollers. The trackball collects dirt and deposits them on the rollers. When the rollers can no longer move, then the menu becomes inoperable. This can be easily fixed by opening the trackball assembly and cleaning it with a cotton swab. After a few of these, then you begin to see for yourself the frustrations of the customers. It’s no coincidence that there is a high rate of return for this product. Read article.