Sunday, June 24, 2012

RIM Weighs Sale of Hardware Business

BlackBerry maker Research in Motion is considering splitting its business in two, separating its struggling handset manufacturing division from its messaging network, The Sunday Times reports. 


Keep in mind that in its most recent quarterly report, RIM said it earns 68 percent of its revenue from selling hardware. RIM earned about 27 percent of revenue from services. 

RIM could spin off the handset operations as a separate company or sell it, a move that would be inconceivable for a firm such as Apple, for example. The difference is that RIM makes significant revenue providing messaging services.


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