BlackBerry Maker In Freefall

RIM warns that it's going to lose money again this quarter
By Kevin Spak,  Newser Staff
Posted May 30, 2012 7:20 AM CDT
Updated May 30, 2012 8:05 AM CDT
An official of Research in Motion (RIM) displays a newly launched BlackBerry bold 9900 at a function in New Delhi August 11, 2011.   (Getty Images)

(Newser) – Research in Motion shares plummeted almost 8% in pre-market trading today, after the BlackBerry maker warned that it would lose money for the second straight quarter thanks to ever-dwindling sales. Analysts had been slashing their estimates on BlackBerry, but all assumed it would at least be profitable, the Wall Street Journal reports. The company said it was hiring advisers to try to figure out how to turn the company around—or sell parts of it.

CEO Thorsten Heins said he wasn't looking to sell the company, but didn't rule that out either, and some analysts believe that nothing short of a sale will reassure investors. In the meantime, the company is trying to shave $1 billion in costs this year, as it tries to hang on until the debut of its new BlackBerry 10 and accompanying OS. Those savings will include "significant" job losses, it said, though it will be hiring to support the BlackBerry 10 launch. (Read more Research In Motion stories.)

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