BlackBerry Bold keeps RIM ahead of smartphone pack

It’s been almost a year but RIM has responded to the iPhone threat and wow, it looks like a good one. For those gadgets lovers or business readers that took an extra long weekend, RIM earlier Monday introduced the BlackBerry Bold, part of its 9000 series of smartphones and one of the worst-kept secrets in gadgetland.

The device, which will sell for somewhere between US$300 and US$500, has a faster processor, 2 megapixel camera among other features. Dubbedthe Bold, it is the first RIM smartphone to run on so-called 3G networks. AT&T will likely roll out RIM’s first device that runs on such networks sometime this summer.

The introduction of RIM’s Bold today show the company has at least three advantages over Apple that will help it prevail in what has become a full-blown battle for the affection of gadget lovers everywhere (versus other smartphone makers it’s more of a toss up).

1) RIM’s ability to innovate. RIM is the creator of wireless e-mail; the brainiacs at its Waterloo, Ont. headquarters know to pioneer market leading products. It may sound like promotional material but it is the fact of the matter. The proof is in the pudding; RIM’s BlackBerry devices are lighter, more durable and have far greater utility than the iPhone. The results are demonstrable in any of the company’s quarterly earnings reports. I’ve used both an iPhone and a Curve extensively. Apple of course will improve its product over the course of time but RIM seems to have innovation embedded in its corporate DNA which should help it capture a healthy part of the consumer market if not a dominant share.

2) RIM’s relationships with the world’s wireless carriers (in North America this point is especially true). Developing connections with carriers and occasionally prodding them to action takes a lot of effort and industry know how. Apple typically doesn’t play well with partners, which will make it difficult for the company to nurture relationships with partners that aren’t used to playing a subservient role. RIM, however, is more or less willing to play ball with wireless carriers unlike Apple. Also to its advantage is the fact RIM has a proven track record of generating high average revenue per user (ARPU) for carriers. This will help RIM as the major wireless carriers decide which of the many smartphones available it dedicates the most sales and marketing efforts towards.

3) Reliability and Performance. Apple may have generated a lot of buzz because of its iPhone now but the BlackBerry has a well-documented engineering and performance track record which Apple will be hard pressed to match. If the BlackBerry Bold is like most other RIM smartphones, the company will still have a sizeable lead over Apple, the much-hyped newcomer to the field.

May 13, 2008 | Filed Under News Items and Commentary