Feeds

RIM axes staff, cuts spending

But will it make Feb. breakeven goal?

  • alert
  • submit to reddit

Secure remote control for conventional and virtual desktops

ComputerWire: IT Industry Intelligence

Research In Motion Ltd, one of the pioneers of the PDA market with its Blackberry devices, plans to axe some 200 staff, and decrease discretionary spending, in an effort to reach its breakeven target date of February 2003.

The staff reductions will bring its total workforce down to 2,000 employees, and will result in a special pre-tax charge of $8m to $9m in the third quarter of 2003. The long-term cost saving of these measures is estimated to be approximately $20m to $25m annually.

In a statement, chairman and co-CEO Jim Balsillie said: "In order to solidify our position and achieve financial targets, we are moving ahead with a difficult yet strategically important decision to tighten operational efficiencies, and adjust our current staffing level."

Only last week, the Waterloo, Canada-based company signed potentially lucrative licensing deals with some of the world's most prominent names in the mobile computing market, namely Nokia, Palm and Handspring.

The market remains skeptical that RIM will hit its February breakeven target, due to current market conditions and an increasing number of competitors, and analysts are predicting that it will continue to lose money through to March 2004.

© ComputerWire

Website security in corporate America

More from The Register

next story
Phones 4u slips into administration after EE cuts ties with Brit mobe retailer
More than 5,500 jobs could be axed if rescue mission fails
JINGS! Microsoft Bing called Scots indyref RIGHT!
Redmond sporran metrics get one in the ten ring
Driving with an Apple Watch could land you with a £100 FINE
Bad news for tech-addicted fanbois behind the wheel
Murdoch to Europe: Inflict MORE PAIN on Google, please
'Platform for piracy' must be punished, or it'll kill us in FIVE YEARS
Bono: Apple will sort out monetising music where the labels failed
Remastered so hard it would be difficult or impossible to master it again
Phones 4u website DIES as wounded mobe retailer struggles to stay above water
Founder blames 'ruthless network partners' for implosion
Sony says year's losses will be FOUR TIMES DEEPER than thought
Losses of more than $2 BILLION loom over troubled Japanese corp
Radio hams can encrypt, in emergencies, says Ofcom
Consultation promises new spectrum and hints at relaxed licence conditions
prev story

Whitepapers

Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.