RIM denies shutdown of Playbook

Research in Motion is denying a report that it has stopped production of its Blackberry Playbook tablets. The rumors began today via a Barron's report. It quoted a note from Collins Stewart chip analyst John Vinh who claimed that the manufacturing company Quanta "has essentially halted production of the tablet. Additionally, our due diligence indicates that (RIM) has canceled development of additional tablet projects."

However InformationWeek has received a response from RIM. In its statement the company said, "RIM doesn't typically comment on rumors, but any suggestion that the BlackBerry PlayBook is being discontinued is pure fiction. RIM remains highly committed to the tablet market."

The 7-inch Blackberry Playbook, first launched in April 2011, has not been a sales success for RIM nor has the tablet generated favorable reviews. The company said earlier this year that 500,000 units were shipped in the first fiscal quarter of 2011. However it admitted earlier this month that it had only shipped 200,000 Playbooks in its most recent second fiscal quarter, well below expectations. RIM executives said at the time they planned to stick with selling the Playbook and would try to lower its cost via rebates and other deals.

Today, Best Buy lowered the price of the Playbook down $200 for all three models of the tablet, making the cheapest (16 GB) version priced at $299. A few days ago Staples started selling the 16 GB version for $299 but that price includes a $100 rebate via a Visa pre-pay card; Best Buy's price cut comes with no such restrictions.

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Another $200 drop in price and it will be a hit.

Meanwhile, iPad is extending its market share :

Shocker: Apple iPad Captures 80 Percent of Tablet Market

Apple continued to trounce the tablet competition with the iPad in the second quarter, capturing 80 percent of the market, according to stats from Strategy Analytics.
"Apple has a tight grip on the American tablet market that Amazon and others will find hard, but not impossible, to break," the firm said.
Of the 7.5 million tablets that shipped during the second quarter, 80 percent were iPads, well ahead of those from rivals like Motorola, Samsung, RIM, Asus, and HTC....

http://www.pcmag.com/article2/0,2817,2393668,00.asp

too bad, it's like there isn't any competition for the ipad right now..
I'm going to wait till win 8 arrives and then look for a nice tablet.
(Not that i thought that RIM did had any chance..)


The biggest thing that made Playbook fail, is that it requires a Blackberry phone for the standard apps.
And even dare to ask such high price for lacking the basic functions.

I personally was really looking forward to get a Playbook for myself until I found out that there is no build in standard apps such as email.

I wouldn't even pay $200 for this device. I'm not sure i'd even buy it for $99. I mean what kind of app support does this thing have?

warwagon said,
I wouldn't even pay $200 for this device. I'm not sure i'd even buy it for $99. I mean what kind of app support does this thing have?

For $100, even zero app support is well worth it if it is a good internet tablet.

The problem is, this thing doesn't even have native email and contact support...Very bizarre.

DukeEsquire said,

For $100, even zero app support is well worth it if it is a good internet tablet.

The problem is, this thing doesn't even have native email and contact support...Very bizarre.

it does through a blackberry phone when bridged..

It does OTA updates which is something that the ipad cant even do.. thats like saying the ipad does not have a native update client.. but it does when you hook it upto a computer..

you guys dont understand.. RIM's entire business is mobile.. they make the majority of their money selling smartphones.. if the tablet running QNX was cancelled, what would they do about their new phones coming out with QNX.. to cancel this product would cause their entire business to fail..

Microsoft could cancel KIN because their business did not rely on it, they cant cancel WP7 no matter what because it ties in with their entire Windows 8 strategy.. (i know WP7 is good now but alot of people thought it would be cancelled earlier on)

HP sells servers and computers, the touchpad and pre phones were only about 3% of their entire revenue so it was not a huge deal for them to cancel even though they invested so much into it.

If QNX fails then RIM fails

Lachlan said,
you guys dont understand.. RIM's entire business is mobile.. they make the majority of their money selling smartphones.. if the tablet running QNX was cancelled, what would they do about their new phones coming out with QNX.. to cancel this product would cause their entire business to fail..

Microsoft could cancel KIN because their business did not rely on it, they cant cancel WP7 no matter what because it ties in with their entire Windows 8 strategy.. (i know WP7 is good now but alot of people thought it would be cancelled earlier on)

HP sells servers and computers, the touchpad and pre phones were only about 3% of their entire revenue so it was not a huge deal for them to cancel even though they invested so much into it.

If QNX fails then RIM fails

No one thought Microsoft could cancel Windows Phone 7 because they have been true to their strategy with WP7 since they first brought it into public......it is no HP!

Mohitster said,

No one thought Microsoft could cancel Windows Phone 7 because they have been true to their strategy with WP7 since they first brought it into public......it is no HP!

I have a WP7.. I just remember being on here when they first launch and the report that 40,000 were sold in the first day which was pretty brutal.. a big group of people were calling out to be cancelled..

Can we please have these price cuts news on the front page all the time? and not just when there is some controversy involved!

Both could be true.. isnt there a difference between "stopping production of the tablet" and "discontinuing Playbook"?? They would have stopped production because they have playbook units in abandon and obviously its not selling well.. so its logical to stop units the units are sold... but RIM executive are saying that they have not discontinued which might be true but the real question to RIM is did the production stop for now???

The price is the only thing that's stopped me from getting one thus far.. I'll have to take a second look with this latest price cut.