BlackBerry manufacturer Research in Motion has turned to a single boss as it looks to regain ground on rivals after its former leaders Jim Balsillie and Mike Lazaridis quit
A problem that defeated two CEOs, is now the responsibility of one - BlackBerry manufacturer Research in Motion has turned to a single boss as it looks to regain ground on rivals after its former leaders Jim Balsillie and Mike Lazaridis quit.
The two men had served as "co-CEO" at the Canadian tech firm, having run RIM together for two decades, but the firm's struggle to keep pace with rivals such as Apple saw the two step aside.
The RIM founders have been replaced by Thorsten Heins, a little known executive who joined RIM four years ago from Siemens. But despite analysts warning the firm needs a radical shake-up if it wants to lure back customers who have moved on to flashier touch-screen phones such as Apple's iPhone and models that run Google's Android software, Heins used his first remarks as CEO to say there won't be huge change.
"We are more confident than ever [the approach of the previous regime] was the right path," he said. That didn't go down well with some. Jaguar CEO Vic Alboini, who leads an informal group of 16 RIM shareholders holding just under 10 per cent of the company's shares, told Reuters: "If Thorsten really believes that there are no changes to be made, he will be gone within 15 to 18 months."
Many shareholders and analysts have said a change or sale of the company has been needed, but the sudden departure of the two founders from their top jobs wasn't expected. Balsillie has addressed Dubai's tech showcase GITEX on more than one occasion. RIM said last month that new phones deemed critical to the company's future would be delayed until late this year. And its PlayBook tablet, RIM's answer to the Apple iPad, failed to gain consumer support, forcing the company to slash prices.
Sales in the UAE and wider Middle East are still strong and the company still has 75 million active subscribers, but many analysts believe RIM will lose market share internationally as it has in the competitive US market. Market researcher NPD Group said RIM's market share of smartphones in the US declined from 44 percent in 2009 to 10 per cent in 2011.
© 7Days 2012
