Next Generation iPhone Will Turn BlackBerry Into The Next Palm

Online, April 3, 2010 (Newswire.com) - Research In Motion Ltd., (RIMM) is at risk of becoming a mid- to low-end player in a smartphone market that is rapidly becoming more sophisticated, with Apple's iPhone and Google's Android leading the way.

According to CEO Peter Tasca of Laureate BVI fund, "RIM needs to improve browsing and simply add more applications. Apple iPhone has over 50,000 apps available while RIM lags with only 6,200 apps. What is of real concern is if BlackBerry can compete head to head with iPhone. Apple is already working on the next generation device while RIM is still working on a mobile web browser."

Unless RIM can make big changes to its hardware, software and platform products, it risks losing its high-end status and becoming another Palm, which was once the smartphone leader and innovator. This deterioration will take time because RIM still has a great brand, strong distribution network and eager carrier partners.

Tasca says, "The best case scenario for RIM is that they change their OS to Android. This will allow them to have a solid platform and lead the industry once again. Apple's market share keeps growing - it is now 33% versus RIM's 38%. RIM needs to address this problem now, not later."

For the time being, most signs point to BlackBerry still holding the lead in the smartphone market. Last quarter the company added 4.9 million subscribers and it now has over 41 million users.