Research in Motion (RIM), the maker of BlackBerry smart phones, has had a lot to see ever since the Apple iPhone and the smart phones running on Google’s Android came into the smart phone space. Once the pioneer in the mobile email and smart computing industry, Research in Motion is losing its ground now and losing a lot of market share. And the only thing a company running under loss can do is layoff a few of its employees to maintain the expenditure and the income as profits.
The company had cut down on 11% of its total world wide employees, which as 2,000 employees, this was a part of reconstruction. The company seems to have not come out of the crisis yet as there are rumors that there will another layoff soon, and this one is going to be huge. Rumors says that there may be as many as 2,000 to 6,000 layoffs this season, and the announcement from come of June 1st, which is just one day before the end of first quarter for the company.
Though there are no official words on this till now, sources of various news agencies which are close to the company have proved the rumor right. The Age writes:
The layoffs were reported by the Globe and Mail on Saturday, citing unnamed sources. The Canadian newspaper, citing several people close to the company, reported that the next round is layoffs is said to be planned for around June 1 – a day before the smartphone maker’s first quarter ends – but some expect the announcement even earlier.
Reuters had contacted one spokesperson of the company for comments on this, but she apparently has not given out anything worth noting. But according to Reuters:
But she pointed to comments that new chief executive Thorsten Heins and chief financial officer Brian Bidulka made on RIM’s last earnings call about plans to streamline operations and save $US1 billion in the fiscal year. The spokeswoman said RIM now has about 16,500 staff globally. This is down from a peak closer to 20,000.
This is a very sad news, but if the company does not try hard enough to win the hearts of many BlackBerry lovers who have migrated to the other three major platforms, it will have to close down the company completely.