RIMM launches new phone...time to buy AAPL
Today, Research In Motion launched their new Blackberry Torch 9800...the "much-hyped", "highly-anticipated", "game-changing", "iPhone-killer" model, if you've been following the media stories. Now that it's released, I have one thing to say: Buy AAPL!
I applaud competition in the smartphone market. I own AAPL stock, and like their products, but am not some blind evangelist that believes it should be Apple or Nothing. I think some of the Android-based phones that have come out in the past year are phenomenal...and I love having a choice.
But, RIMM's latest effort shows the difference in approach to the market between a growing company and a fading company. The RIMM business model is breaking, and AAPL should have no fear of losing customers...or even losing speed with stealing RIMM's customer base.
RIMM has chosen to pitch their new phone at "all users" by packing it with as many features as possible, combining parts of touch-screen smartphone, classic keyboard-based Blackberry, and strapping it with an exclusive AT&T contract. In other words, it does nothing well and everything poorly.
RIMM had the option of focusing on core business use of their device, and instead chose to chase Apple's and Google's tails...this is the mistake the Microsoft has been making for the past 3 years. RIMM is a successful company that is now choosing to not differentiate itself. It is commodotizing itself...and its competitors will reap the benefits.