Shares of Research In Motion Limited (USA) (NASDAQ:RIMM) plunged about 6% in pre-market trading on Friday, as it released a program of incentives to give confidence its largest customers to run its upcoming line of BlackBerry 10 devices, looking to influence corporations and government customers to stick with its safe smartphones.
RIM is expecting that the devices to be released on January 30 next year will restore its fortunes. That will depend largely on the retort from RIM’s enterprise customers the business customers who value BlackBerry’s strong security characteristics.
Research In Motion (NASDAQ:RIMM) declared that its new devices will be smoother and faster than previous BlackBerry phones and will have a big catalog of apps, which are vital to the success of any new line of smartphones.
A senior director of enterprise at RIM, Bryan Lee stated that they would be insistently reaching out to their customers to make sure they are aware of this program. They see this as actually the key player for helping their customers to transition to BB10.
On the other side, Mark McKechnie an analyst at Evercore Partners stated that RIM’s gradually program to encourage enterprise customers was a optimistic move, while it highlights the challenges RIM faces.
He wrote in a note that they are expectant with an extreme marketing campaign with the right inducements to motivate enterprises to upgrade. Their take is that this will remove an obstruction for those previously planning to upgrade, however likely will not push too much of who prefer to wait.
RIM’s Lee reported that he sees marvelous excitement from enterprise customers who desire to utilize the new platform, but he would not wonder on how many would be ready to transition to the new platform come release day.
Stock Price Performance: Between November 07, 2012 and December 06, 2012, the stock price surged $2.83 (+31.24%), from $9.12 to $11.89. While, Research In Motion Limited (USA) (NASDAQ:RIMM) fell 0.42% to the trading at $11.89. RIMM ahead its 52 week low with 91.16% and lagging behind from its 52 week high price with -33.80%.