BlackBerry’s handset and Playbook maker, Research In Motion (RIM), has suffered another setback with poor second-quarter sales of its older handsets. With the craze surrounding Apple and Google refusing to settle down, RIM was able to sell a mere 200,000 Playbook tablets, lesser than the estimated amount of 550,000.

According to reports, Jim Balsillie, Co-Chief Executive, RIM, has said that overall, unit shipments in the quarter were slightly below their forecast due to lower than expected demand for older models. He further added they will continue to build on the success of the BlackBerry 7 launch to drive the business as they focus their development efforts on delivering the next generation, QNX-based mobile platform next year.

Revenue for the second quarter of fiscal 2012 was $4.2 billion, down 15% from $4.9 billion in the previous quarter and down 10% from $4.6 billion in the same quarter of last year.

 

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Lenovo starts LePad sale in China

China’s Lenovo Group Ltd. has started the sale of its first tablet PC, LePad in China.

Lenovo’s move comes after other major electronics companies like Dell Inc., Samsung Electronics Co. and Motorola Mobility Holdings Inc. have begun selling tablet devices to compete with Apple Inc.’s iPad. BlackBerry maker Research In Motion Ltd. will start selling its PlayBook in North America next month.

The LePad has a 10.1 inch screen and runs Google Inc.’s Android software. Lenovo is selling four versions, starting at US$533 for a version with Wi-Fi wireless Internet connectivity and 16 gigabytes of memory. A version with 3G cellular connectivity and the same amount of memory starts at US$700.

As per Lenovo spokesman Jay Chen, the LePad went on sale in China on Monday and will go on sale outside China by June.

Research In Motion (RIM) shares fell by 12% in after-hours trading after the company stated that profits for this quarter will be much weaker than expected.

The company told that the developing of its new tablet-format Blackberry is responsible for the fall, as well as a migration of consumers towards cheaper handsets in its product range is the other reason for the same.

The share price fall came despite the Canadian firm reporting $934 million net profits for the last quarter, in line with expectations. Profits went up by 31% a year earlier.

Revenues of $5.6 billion increase of 36% – were slightly short of expectations, according to the results released after the close of trading on the Nasdaq exchange.

The company has seen its share of its core US market steadily erode by smartphone rivals.

Some 48% of its business now comes from outside the key markets of the US, Canada and the UK.But growth in these new markets has gone hand-in-hand with a shift towards lower-margin entry-point products, the firm conceded.

RIM is banking on its new tablet computer – the Playbook – to regain the initiative.

It will be half the size of Apple’s iPad and will be compatible with Google’s Android operating system.

 

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If reports are to be believed, Research In Motion is considering setting up a handset factory in India, and may develop the country into an export hub. Setting up such a plant may involve an investment of anywhere between $150-250 million to begin with.

As per RIM’s spokesperson, India is an important and strategic market for RIM and its exciting and fast-growing mobile sector offers major potential for further expansion. As part of RIM’s strategy in India, the company has been building its resources in order to support the growing opportunities.

The company added that RIM’s Chief Information Officer, Ms Robin Bienfait will be in India to meet with major Blackberry customers as well as a variety of current and prospective business partners.

RIM has had problems with selling its handsets in some Asian countries, including India where local regulations require that it make emails sent to and from its handsets available to the security services on demand. The BlackBerry phones have a status in the Asian markets that they have somewhat lost in Europe and the USA over recent years, and the company can be expected to look to the region to boost its long term growth.

Research In Motion (RIM) has promised to get rid of a Blackberry software program designed to help drunk drivers avoid police checkpoints.

The move came a day after Senate Majority Leader Harry Reid and fellow Democratic Senators Chuck Schumer, Frank Lautenberg and Tom Udall urged Google Inc., Apple Inc. and Canada-based RIM to remove such third-party software from shops stocked with applications for smartphones.

According to the senators, drunk drivers will soon have one less tool to avoid law enforcement and endanger their friends and families. They appreciate RIM’s immediate reply and urge the other smartphone makers to quickly follow suit.

The senators want to purge smartphones of applications that use driver-generated databases of speed traps, speed cameras, or even drunk driving checkpoints to help drunk drivers avoid police.

Mosaid Technologies, a patents holding company has announced that it has initiated wireless patent infringement litigation against a slew of companies after it claimed that they have infringed and continue to infringe its patents relating to Wi-Fi technologies. The patents in suit are Mosaid’s U.S. Patent Nos. 5,131,006; 5,151,920; 5,422,887; 5,706,428; 6,563,786 B1; and 6,992,972.

According to John Lindgren, President and CEO, Mosaid, since 2008, they have licensed their portfolio of wireless patents and applications to 15 companies that have recognized the value of this intellectual property. They believe that all companies offering products that implement the Wi-Fi standard require a license to their wireless patents.

The companies named in the lawsuit are: AsusTek Computer; Murata Manufacturing; Ralink Technology; Realtek Semiconductor; Research in Motion; Wasp Barcode Technologies; Wistron; and Venture Research.

 

Research In Motion is reportedly battling with wireless carriers in North America over their diverging mobile payments strategies.

RIM and the carriers disagree over exactly where the key data related to mobile payments should reside on the next generation of smartphones, slated to come out later this year, as this will decide who will control the customers, revenue and applications that grow out of mobile payments.

Carriers like Rogers Communications in Canada, and AT&T and T-Mobile USA in the US are opposing RIM and other handset makers’ strategy to make phones that will store mobile payments data, known in industry parlance as ‘credentials,’ in the devices themselves.

According to officials representing some of the carriers, this would bind users to phone makers’ devices and potentially cut carriers out of the loop. The carriers believe they want to encrypt and store the credentials in the phone’s SIM card as these can be easily swapped from phone to phone.

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The Indian government has announced that the country’s security agencies have expressed dissatisfaction over the solution provided by BlackBerry smartphone maker Research-In-Motion (RIM).

According to Minister of State for IT and Communications Sachin Pilot, for Blackberry Messenger (BBM) services, a solution has been offered by RIM but the Security Agencies are not satisfied with the solution.

The government has asked RIM to handover interception solution for its BlackBerry Internet Services (BIS), BlackBerry Messenger (BBM) and BlackBerry Enterprise Servers (BES) by January 31, 2011.

RIM later claimed it has given government solution to intercept BIS and BBM before the stipulated timeline but denied to have any solution to intercept BES.

According to Pilot, RIM has not yet given the solution for interception of their BlackBerry Enterprise Services (BES). According to RIM, they do not have any key for this service because communication offered through this service is dynamically encrypted.

The Minister mentioned the message in text can be obtained from Enterprise Email servers, where it is in readable format. Enterprise Email servers are deployed for corporate houses.

According to Indian Telegarph Act, 1885 and the licensing term and condition of telecom service providers, it is required for companies to provide Lawful Interception and Monitoring solution for any service they provide.

However, in case of Blackberry security agencies are only able to intercept voice (phone calls), SMS and BIS.

7digital_blackberry playbook

Research In Motion has announced that its forthcoming tablet device, the BlackBerry PlayBook will come with the 7digital Music Store pre-installed when it is sold in most of the countries.

The 7digital Music Store will give BlackBerry PlayBook users access to 7digital’s catalogue of over 13 million MP3 music tracks.

BlackBerry Playbook users will be able to search for tracks, albums and artists and preview tracks before making a purchase. Users can also discover new music through 7digital’s recommendation technology. Prices for Blackberry PlayBook users will match the prices on 7digital.com, with individual tracks and albums priced in a customer’s local currency.

According to Ben Drury, CEO 7digital, they are really excited to be working with RIM to bring the 7digital experience to the BlackBerry PlayBook. RIM has created an incredible Tablet with premium multimedia features and are delivering a truly exceptional music experience for mobile users, offering content that is extremely easy to discover, purchase and use.

The company already has a prior agreement to put its software into some BlackBerry smartphones.

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The Department of Telecommunications (DoT) is examining various kinds of messenger services and has not set any deadline for operators to give the interception solution for BlackBerry enterprise services.

According to Telecom Secretary R Chandrasekhar, they are in discussions with the home ministry separately, so it will be between the two departments to do whatever is necessary for interception. When asked about the deadline for operators to give the interception solution, Chandrasekhar stated that the department had not fixed any such deadline. He added that a  separate set of discussions are going on not just on the BlackBerry but on various kinds of messengers services and various kinds of communications with reference to amenability to interception being addressed

Research In Motion (RIM), the makers of BlackBerry smartphones, has maintained that the company cannot provide access to the its BlackBerry enterprise services as it does not possess any key.

The company has already given a full solution for interception of its BlackBerry messenger services in January. RIM had earlier given a manual solution for monitoring messenger services. There are over one million BlackBerry subscribers in India.

The home ministry has asked DoT to ensure that all telecom operators submit by the end of this month their plans on when they can provide access to all services, including BlackBerry enterprise services.