What happened to Research In Motion and where are they going?

I want to start this off by saying I have nothing but love for RIM the company. Probably my favorite tech corporation in the world, they’ve created an incredibly unique product that practically replaces the need for drugs for most people. What’s even more fascinating, however, is how RIM (to the pleasant surprise of a lot of us early users) has managed to take a corporate-focused product and service and blow down doors in the consumer world. From the BlackBerry 7100, the first consumer-oriented device, to the eye-catching BlackBerry Tour (it’s business through and through, yet it will be an incredibly popular consumer phone on Verizon and Sprint), it’s clear that RIM has done everything right to this day.
So, what’s the problem you’re asking? They have probably the best back-end infrastructure for mobile communication on the planet, awesome phones that can go head-to-head with high-end smartphones, consumer marketing, a huge consumer fanbase, and practically every businessman (or woman) has one on their hip. One word is where RIM fails so miserably it isn’t even imaginable: software.
You have to look at the big picture here… for what RIM is working with (an incredibly miserable Java OS with so much security and encryption and smoke-blowing APIs) they’ve hit the jackpot. Their OS architecture is fantastic, their use of security is what makes them so trustworthy. But, as each handset release comes closer and closer, people start to see the bigger picture. And that’s the fact that RIM’s OS is more than antiquated, it’s borderline laughable. But it works, you’re thinking, so what’s wrong? I’ve been saying this for years, but it wasn’t designed to do anything the BlackBerry does now. Imagine scotch taping car parts to a 200hp engine and see how far that gets you. Obviously, it’s just a viciously rough metaphor, but we believe a correct one.
There’s so many limitations to RIM’s OS, and even RIM’s data network that it offsets all the wonderful things they’ve managed to accomplish. Remember when people were so excited over leaked shots of OS 4.6 and I said somewhere it was just a theme? Well, was I wrong? Oh, look! OS 5.0! What changed? 99% nothing. Some functionality is added here and there, but the mobile phone landscape has changed so drastically in the last two years, that RIM, admittedly known to planning “three years out” looks to be unable to see the proper direction to head.
You can throw $1,000,000,000 at developers but you won’t get any if your OS, tools, and documentation are so bad, and that’s really in the end a lot of what I’m getting at. I was laying in bed at around 3AM early one morning recently, looking through the iPhone App Store and I came across EA’s Tiger Woods Golf. $6.99, why not? Wait, it’s 150MB? Wow, it must be good. I clicked purchase and literally 4 minutes later, Tiger Woods was installed and up on my screen. Granted I was on a high-speed Wi-Fi connection, but it made me realize more than ever that RIM has the most uphill battle of their lifetimes. When a BlackBerry application over 500k is considered “large”, something’s wrong. When TweetGenius is one of the first BlackBerry applications to do fun, unique things like transparent overlays, consistent shortcuts, and a straight forward UI, something is wrong.
The reason why this is so frustrating to me and I’m guessing many is because RIM literally almost has it all. They’ve got it! They are 90% there but that last 10% has become the most important. If you take Apple for example, and see their shortcomings, and then what they’ve done to fix them, it’s remarkable. It’s a completely different DNA than RIM’s but it’s working. In two years Apple has practically matched Research In Motion in almost every consumer area while having the most advanced mobile operating system with the most advanced mobile SDK on the planet. If Apple can do this in just two years and RIM has stood still, no one thinks that’s a problem?
The reason RIM works is because it’s the entire package, if you will. Hardware, software, infrastructure, corporate integration, security, etc. People want simplicity, ease of use, but more than ever they want more than they need. Stupider people are smarter and expect more, smarter people are stupider and expect more. RIM delivers the same tired package in new hardware and people are starting to catch on. App World? Seriously? From every single developer I’ve spoke to, it’s a non-starter. It basically doesn’t exist to them in terms of a sales channel — it’s practically like 1% if that.
What consumers don’t do is look forward. They look at what’s put in front of them. It’s the exact opposite for the manufacturer and thus why it’s so difficult. Look back two or three years and the Bold and Storm might seem incredibly innovative, consumer-focused, and sure to be hot sellers. And they were and are, but look ahead three years and tell me point blank you have confidence that RIM knows how to steer this ship. I don’t, and that’s being incredibly honest. It’s not me being negative, it’s objectively looking at the landscape and evaluating things. I want RIM to succeed, I want RIM to make kick ass products. I’m just frustrated that RIM is going through hardware like it’s nobody’s business yet fails to deliver on the things that everyone wants. Screw business people, screw consumers, everyone wants a WebKit-based browser. It’s inexcusable RIM doesn’t get it. It’s inexcusable that people put up with a 2003 operating system with so many limitations and restrictions it would make Ahmadinejad jealous. I don’t think RIM is going anywhere, they as a company are incredibly successful, but once they start to lose the consumer market which they worked so hard to get, it’s a downward shift.
Here’s a list of RIM’s models followed by Apple’s in the last 3 years:
RIM: 8110, 8120, 8130, 8800, 8820, 8830, 8300, 8310, 8320, 8330, 8220, 8230, 8900, 9000, 9500, 9530, 9630.
Apple: iPhone, iPhone 3G, iPhone 3GS.
There’s a good and bad part with knowing things in advance. For instance, people might hold off on purchasing a new BlackBerry if they know a newer and better one is being released in a couple months, and this hurts a company’s current product cycle. On the other hand, if someone on Verizon sees a Tour being released two months from now, they might rethink jumping ship or switching to a different device on Verizon. And the cycle continues. Looking at RIM’s upcoming products for the next 6-12 months is simply a rehash of current limitations and shortcoming in smaller and sexier packages. The BlackBerry 9020? It’s a Bold in a smaller, sexier package. Nothing else is different. The BlackBerry Storm 2? It’s the same device with maybe improved screen tech. The BlackBerry Magnum? As hot as a hybrid touch screen/QWERTY device would be, it’s still a BlackBerry that can’t pull up a webpage to save its life or play a real game or have any sort of desktop-class application running.
These things won’t change, the core OS hasn’t changed, and RIM has had no reason to change it. Why mess with success, right? Well, if you happen to be Research In Motion, you might have to start changing things up or newer and better operating systems like the iPhone, webOS, and Android are going to eat their lunch and their applications, too.
I’m fortunate enough to be able to have every phone I want on every carrier and that gives a person an incredible amount of clarity when picking the superior products. I use an iPhone 3GS and a BlackBerry Bold everyday, both on AT&T. But to tell you the truth, in the past when people ask me what device would I choose if I had to only pick one, it would hurt my brain. There was just no way to choose. But unfortunately or fortunately, that decision has become clearer and clearer. I don’t think I’ll ever give up my BlackBerry, I’m pretty sure you’ll always find one on my hip in an OEM RIM leather holster, (yes, holsters are cool as shit) but when me of all people starts truly questioning how a company as successful and brilliant as RIM is going to keep up with the next 2-3 years, you’ve got a big, big issue.
I’ll close by saying that the market is still wide open and this doesn’t mean RIM is or ever will go anywhere. It’s just something to keep an eye on and see how the best to ever do it will react to competitors’ advances, innovations, and of course, their software.



LOL…Rant Time!
very well said!
from an avid BB user and totally agree
first!.. nice post!
Great, great post. It’s what many of us over at the CB forums have been arguing about for ages. I’m tired of the “if it ain’t broke, why fix it?” attitude. Innovation doesn’t happen with that mindset.
Not a rant…it’s all true and gives a great perspective to RIM…mad write up BG, much respect sent out to you on this one. Great Job!
I agree
I’d kill for the Magnum.
I completely agree with what you are saying. I am an avid blackberry user and i want to see some changes to the system.
All these new phones, can do more and different things than a bb can do and sometimes its frustrating. Some of the features are so basic, but yet my bb doesnt have them.
When the 3GS came out, i contemplated the switch from my bold, but in the end i could leave my BB. The shortcut features and anything with my PIN is irreplaceable. i just wish RIM would make steps forward and drastically make a change to the OS and daily features.
If it isn’t broke dont fix it, is exactly what Apple has done too. Look at the 3GS, it’s just a bumped up 3G.
Best Written Article ive seen here in a long time, as a blackberry addict i completely agree and would love for the higher ups at RIM to see this. I am sure they will… Well Done.
Great article- you brought up a topic that has been bouncing around in my head for the past couple years…I’ve been amazed at the hardware development from RIM and continue to wonder why the software hasn’t kept pace. I remember sitting with a buddy who had just gotten the Bold right after it was released and there I sat with my Curve (8330) thinking there must be some new great things in this Bold…then when I checked it out, it did look a bit different but in the 5 minutes I messed with it, the OS looked 99% the same as my Curve. Aside from hardware improvements, I really don’t see the big deal for the Tour versus my 8330. Sure, I’d like a better keyboard and maybe the higher internal memory but at the end of the day, when Verizon gets the iPhone on their network look out. I think the iPhone penetration will be more accurately reflected once it isn’t relegated strictly to AT&T. In my opinion, the iPhone offers the best mobile OS on the market.
I use a blackberry all day everyday, but I realized when I got on a plane not too long ago and lost signal, I put it away and pulled out my ipod touch. I love my bb, but its just not the fun phone
webkit browser? how about a decent looking battery door for the TOUR.
Ive also been saying this for some time now. RIM absolutely needs to change their OS if they want to keep up. I’m a die hard BlackBerry fan but lately I’ve been peeking around at other phones than can offer a little more in the OS dept.
“But to tell you the truth, in the past when people ask me what device would I choose if I had to only pick one, it would hurt my brain. There was just no way to choose. But unfortunately or fortunately, that decision has become clearer and clearer. I don’t think I’ll ever give up my BlackBerry…”
This right there is why RIM won’t improve; there’s no need to.
I would argue that up until the Palm Pre was announced that Apple wasn’t ‘motivated’ to improve as much as they have with OS.3.
As a consumer, if you love their ideas and products you have to be willing to part with them when said company is in a downward trend. This way they know you’re serious and that they need to get their stuff together, otherwise there’s absolutely no incentive for them to change.
Ain’t that the truth. I feel the same way and have a hard time choosing between the 3G S of the Bold. And right now I’d love to test drive the Tour. But RIM would be the best by far if they would pick up the software game.
I’ve had a similiar conversation with a number of my co-workers over the last few years.
Their software has frankly become an embarassment. I push blackberry’s to everyone but I look like a fool when my friends on iPhones can download games and start playing them in under a minute while my blackbery struggles to download a basic HTML webpage.
You mentioned that their software is the problem, but their network is also a problem. As sophisitcated as it is, it was originally designed to run over the pager network, and I have a feeling not much has changed. Indeed downloading on a blackberry feels “batch-based”, that is, you can see it downloading in spurts instead of a consistent stream like we’ve come to expect from modern devices.
Hopefuly they figure it out, and soon, otherwise, well, I won’t say it.
I love my bold and my blackberry but I agree completely with everything in this article. Look at how many people are switching to the iphone from blackberries for the apps. I can count around 10 people I know of. RIM needs to step their game up soon.
Good post. RIM OS is fine but its limitations are becoming more and more apparent.
I have to say, this was a valid post. I have had the BB storm since release and only got it due to contract. I have to say, I’m about 4 months away from dropping this and VZW to head to ATT for a far better device. Why? As BG mentioned above, the software. So true. It sucks.
Great industry insight and well written! Excellent job BG!
I use a Blackberry, and all of what BGR just said is why I’m having a hard time stomaching the purchase of the Tour.
I don’t really know what I want, but at this point, I do know that I’m not all that interested in a new Blackberry. Why would I want to drop a fortune on a device that’s no different, functionally, than a two year old Pearl or Curve?
Honestly I agree, we need a whole new OS, start from scratch, I’ve been seriously considering going to Apple. If they were on that rapist carrier. I would have one.
BB user since the 8700g. 5 years running.
I dont think anyone can disagree with you.. I really hope that there is a new RIM OS being created somewhere in Area 51 and thats why we havent heard about it.
Come on RIM your product is kickass and I cant deny it but time to let the world why you are in the top spot
My only complaint with RIM is the buggyness of their phones. I have a bold and it didn’t even last 3 months before the speaker broke. No support, att will give me a refurb phone and I just bought a brand new one. RIM’s reliability used to be bettter.