Looks like RIM’s fate is sealed here. ARS reported that RIM’s slashing of its Playbook pricing is costing the company $485 million in losses. RIM has already announced last Friday that it won’t be meeting its financial targets for the year due to the unsuccessful performance of the PlayBook tablet. RIM made 150,000 units this quarter, compared with 250,000 last quarter, and 500,000 in the first quarter of the year.
Even though the tablet was being offered at a discounted prices through the holiday season, it isn’t really warming up the market. RIM slashed the price by $300 to get a sale and the tablets sold out at retailers on Black Friday. However reports are that RIM is said to be committed to the tablet market and will keep going in the race, despite the heavy losses it is facing. Much of the future is also believed to be in the hands of the upcoming PlayBook OS 2.0 software which RIM says can change the game but lets wait until it comes out.
RIM also had some bad PR rep in Canada. Apparently a pair of RIM employees on a non-stop, Beijing-bound flight had a few too many drinks and started misbehaving so badly that the plane turned around and dropped them off in Vancouver. Due to industry regulations regarding the number of hours a flight staff can work, the flight, which originated in Montreal, was grounded for 18 hours and its 314 passengers were put up in hotels for the night.
The two RIM employees were arrested for their behavior, and have to pay Air Canada a fine of $35,878 each. They’re also on one-year probation from flying Air Canada, and are suspended from RIM pending further investigation.