RIM selling gobs of BlackBerrys, profits just so-so
Just under a week ago, we found that RIM had sold its 50 millionth BlackBerry, and while that's all fine and dandy, Wall Street only cares about what you've done for it lately. Thus, traders were none too pleased to hear Research In Motion suggest that its fourth fiscal quarter earnings would come in at the low-end of expectations despite anticipating a higher-than-forecast number of new subscribers. So, what's it all mean? In simple terms, it appears that RIM's making less off of each phone sold, with Todd Coupland of CIBC Capital Markets surmising that the firm may simply be selling more of its lower-priced devices. And honestly, that makes perfect sense given the economy. Still, we can think of much, much darker places for RIM to be in than this, and these days, just coming out in the black is a victory.
[Via Wall Street Journal]
