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Research in Motion

former co-CEO should allow carriers to provide mobile services to BlackBerry devices are not routed through the RIM network

Research in Motion

former co-CEO Jim Balsillie has tried to reinvent the maker of BlackBerry smartphones with a radical change in strategy before he leaves office in March, two sources told Reuters.

Balsillie should enable major mobile operators in North America and Europe to provide the service for non-BlackBerry devices routed through RIM's own network, a major break with the strategy BlackBerry, RIM continued since its inception.

The plan would allow companies to use the network RIM plans to offer low-cost data, limited to social media and instant messaging to attract customers to upgrade low since the phones low cost to smartphones.

But negotiations with carriers in a discord with the highest levels of Canadian society to problems, and Balsillie has resigned as a director shortly after he resigned as Co-Chief management. His former teammate at the helm, Mike Lazaridis - attributes most of the invention of the telephone, while Balsillie is credited to the commercial approach - still active

The veto allows RIM to concentrate on a new generation of BlackBerry devices that promises to surprise consumers. The units will do just that, analysts say, to stop the precipitous decline in market share suffered by RIM, the company that practically invented the mobile e-mail over a decade ago.

plan would Balsillie announced a major strategic move by RIM to define high-margin services network, which collects about $ 1 billion (£ 628m) fourth - as a business that is separate from the construction and marketing of the BlackBerry. The company has probably lost money on hardware sales for the fiscal year just ended, an analyst said Tuesday.

for its fiscal year in late February, RIM had sales of $ 18.4 billion, but profits of only $ 1.1 billion, including a loss of $ 125 million turnover in the last quarter smartphones, particularly in the U.S. collapsed. Of this, $ 13.8bn came from devices - smartphones send 49m and 1.35 m tablets of their playbook. A total of $ 4 billion came from services such as data transmission.

With the boom in smartphones world that shows no signs of slowing down, although his participation in this market is down, RIM might point to a market six times its existing base of BlackBerry, the former market analyst at RBC Capital Mike Abramsky wrote in a note last year RIM defense broke in two.

Some mobile phones worldwide were sent 1.55bn in 2011, less than one-third were smartphones, according to research firm IDC. Only about 51 million were Blackberry.

But smartphones are probably more than half the 2.17 billion phones shipped in 2016, IDC said.

the assumption that RIM could sell their services, even for a small part of the new smartphones, while retaining their existing subscribers, its services business would increase significantly.

Carriers may have seen the value in the plan, which would have encouraged lower value and text chat customers to upgrade plans for low-end smart phones, with limited access to Twitter , Facebook, email and other social media platforms.

The package includes the RIM BlackBerry email application, a powerful tool that has kept many loyal BlackBerry users even more eye-catching gadgets from Apple and invite them running Google's Android software.

said, the provision relied on the private network of RIM, which crashed painfully in October 2011, adding a layer of risk that some companies could have avoided.

RIM network is integrated with mobile networks worldwide. Managed from a chain of data centers, RIM uses its own system to encrypt and compress large amounts of data that is then pushed to BlackBerry devices. It accuses the companies a monthly fee per user for the service.

The system allows the BlackBerry - and other devices on the theory - to use less bandwidth to leave the uncompressed data, so no through traffic routing servers RIM's BlackBerry might help businesses, relieve pressure on their networks.

RIM has taken a first step towards establishing the network as a separate operation late last year with the Fusion Mobile software, which offers its corporate and government clients the opportunity to connect the iPhone and Android devices to manage your existing BlackBerry.

But it offers no exclusive technology that encrypts data and pushes it to the BlackBerry.

interviews with mobile operators

RIM was well on the road, having developed software to provide users with Fusion Mobile service with the latest versions of operating systems Apple and Android. It had also reviewed the overall potential of the sale of the service, said a source.
But before that could happen, the new CEO of RIM, Thorsten Heins, supported by Mike Lazaridis and the Board rejected the initiative Balsillie to focus on the next generation of BlackBerry phones for 10 later This year, two sources said.

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