Introduction

Research in Motion

Have you ever seen people walking distractedly down the street staring at their hands? Have you ever been waiting in an airport, and the person beside you is typing quickly on a tiny keyboard? Have you ever used a Blackberry? Research In Motion (RIM) had a modest beginning with an ambitious vision. Today, more than 20 years later, that ambition and vision has translated into success. RIM is one of the worlds leading designers, manufacturers and marketers of solutions for the mobile communications market. Through development and integration of hardware, software and services, RIMs portfolio of award-winning products now includes the BlackBerry wireless platform, the BlackBerry Wireless Handheld product line, software development tools, radio-modems and software and hardware licensing agreements. Research in Motion (RIM) is a multi-award-winning company that designs and produces hardware, software, and service solutions for wireless communications used by worldwide business and consumer markets. These state-of-the-art products and services provide customers with immediate access to information in order to make sound business decisions 24 hours a day, seven days a week. Whether you use the Blackberry device or the Pearl smart phone, you can be assured that you have purchased a quality product connecting people either at work or at play, designed and built by one of the most innovative Canadian companies of all time.

Background RIM is a Waterloo-based company founded in 1984 by two University of Waterloo engineering students, Mike Lazaridis and Douglas Fregin.
RIM's early development was financed by Canadian institutional and venture capital investors in 1995 through a private placement in the privately-held company. Working Ventures Canadian Fund Inc. led the first venture round with a C$5,000,000 investment with the proceeds being used to complete the development of RIM's two-way

paging system hardware and software. A total of C$30,000,000 in pre-IPO financing was raised by the company prior [3] to its initial public offering on the Toronto Stock Exchange in January, 1998 under the symbol RIM.

Today, more than 20 years later, that ambition and vision has translated into success. RIM is one of the worlds leading designers, manufacturers and marketers of solutions for the mobile communications market. Through development and integration of hardware, software and services, RIMs portfolio of award-winning products now includes the BlackBerry wireless platform, the BlackBerry Wireless Handheld product line, software development tools, radio-modems and software and hardware licensing agreements.

Research in Motion Ltd. is known primarily as the maker and provider of BlackBerry wireless devices and e-mail services. These always-on devices have proven popular with corporations who use them for field service representatives and other mobile employees. BlackBerry's service delivers e-mail messages from corporate servers to handheld BlackBerry devices. Some models also have voice capabilities and can function as cell phones. Other advanced features include the ability to visit specific web sites and conduct Internet searches. In addition, BlackBerry devices include other features common to personal digital assistants (PDAs), including calendars and organizers. In addition to wireless handheld devices, RIM also provides radio modems to original equipment manufacturers (OEMs) and software development kits for creating applications for BlackBerry Wireless Handhelds. The first Blackberry device came to market in 1999. Since then, RIM has consistently introduced many new and innovative products and services that are used by businesses and consumers around the world. The wireless solutions industry is an extremely competitive one, and, in 2002, RIM was sued for patent infringement by an American company, NTP. The case was finally settled in 2006, with RIM paying NTP $612.5 million.1

RIM has offices in North America, Europe and the Asia-Pacific. It is traded on the NASDAQ stock market and the Toronto Stock Exchange. In 2006, RIM had revenues of over $2 billion and a net income of $382 million. At that time, it employed almost 4,800 people worldwide.2

Early History: 1984-90

Research in Motion Ltd. (RIM) was founded in 1984 in Waterloo, Ontario, by Mike Lazardis. Lazardis, the son of Greeks who immigrated to Canada from Turkey in 1967, was 23 at the time. He had recently dropped out of the University of Waterloo, where he was studying electrical engineering. Backed by loans

from friends and family, Lazardis and two friends started RIM. The company's first contract came from General Motors of Canada Ltd. for industrial automation. For several years the company survived by moving from contract to contract. By the late 1980s RIM had about $1 million in sales and about a dozen employees.

Developing Digital Wireless Systems: 1990s RIM became interested in the long-term potential of digital wireless devices after it received a contract in 1987 from Rogers Cantel Mobile Communications, Inc., a paging and cellular telephone operator that was a subsidiary of Rogers Communications Inc. The contract required RIM to investigate the potential of newer wireless digital network systems being developed by Sweden's LM Ericsson. RIM was soon manufacturing tiny wireless radio modems. By the mid-1990s these modems were being used by original equipment manufacturers (OEMs) in products ranging from computers to vending machines.

By 1991 RIM was developing software to support a complete wireless e-mail system. The company was part of a three-way partnership with Ericsson GE Mobile Data Inc. and Anterior Technology that was formed to develop the system. In January 1992 Ericsson introduced its first portable radio modem, which was designed for Hewlett-Packard Co.'s palmtop computer. Anterior Technology was to provide a gateway to major e-mail systems, and RIM provided the application programming interface (API). RIM's API, called MobiLab-Plus, would be used to develop e-mail packages with Anterior Technology. RIM noted that by using radio packet technology instead of cellular networks, the network could determine the optimum time to send an e-mail message. The system, which was still being developed, featured uninterrupted connectivity.

Realizing that he was better at engineering than corporate finance, Lazardis hired James Balsillie in 1992 to handle the company's finances and business development. Balsillie was a chartered accountant with an M.B.A. from Harvard University. He previously held executive positions with Ernst & Young in Toronto and with Sutherland-Shultz Ltd. Balsillie subsequently became RIM's chairman and co-CEO with Lazardis.

In the early 1990s RIM also produced a software developer's kit (SDK) for adding wireless connectivity to Windows 3.x applications. In 1995 RIM released version 2.5 of the SDK, which was called RAD I/O Connectivity Tools. The core of the SDK was a protocol that acted as an interface to RAM Mobile Data network, which was a two-way wireless data-packet network compatible with radio modems produced by IBM, Ericsson GE Mobile Communications Inc., and Motorola. The SDK's protocol handled all communications setups between Windows applications and Mobitex, the name of RIM's networking software. In 1996 RIM released a PCMIA plug-in card for computers that enabled wireless e-mail.

By 1996 manufacturers were beginning to focus on developing smart pagers that would utilize packetbased networks to provide wireless Internet access. RIM initially announced it had two such pagers in development for commercial release in 1997, one for the RAM Mobile Data wireless network and another that was compatible with Ardis Co.'s wireless network. RIM's pocket-sized smart pages would let users exchange pages, e-mail, and Internet messages via either network. Other companies developing similar smart pagers included NEC America Inc. and Motorola.

When RIM introduced its Inter@ctive pager in September 1996 at the PCS '96 trade show in San Francisco, the pager was able to use both the Ardis and RAM wireless networks. An innovative two-way messaging device, the Inter@ctive pager featured a QWERTY keyboard and a small, text-only display screen that showed four lines of text. It was developed jointly with Intel Corporation and included a 16-bit operating system along with built-in contact manager, scheduler, and forms-based messaging applications. With service provided by Ardis Co. and RAM Mobile Data USA L.P., the Inter@ctive pager could send and receive messages and had its own Internet address. The handheld device could also store 100KB of data and had a variety of pre-programmed response messages, such as "I'll be late." The list price for the Inter@ctive pager was about $675, not including service fees.

Released commercially in 1997, the Inter@ctive pager quickly became RIM's best-known product. By early 1998 the company had signed a contract to supply IBM with Inter@ctive pagers for use by its field service representatives across North America. Other customers included Panasonic Corp., Mobile Integrated Technologies, and Telxon Corp.

RIM completed its initial public offering during fiscal 1998. The company's stock was traded on the Toronto Stock Exchange. For 1998, RIM reported revenue of US$21 million and net income of US$400,000. The company was in good financial shape. It had C$100 million worth of backlogged orders and C$109 million of cash and short-term investments. It planned to use about half of its cash on new equipment, sales and marketing, research and development, and as working capital. The company planned to use 10 to 15 percent of its sales revenue toward research and development.

Near the end of 1998 RIM introduced an upgraded version of its Inter@ctive pager. The 950 model was smaller, cheaper, and had a longer battery life than its predecessor, the 900 model. The 950 could send and receive e-mail, pages, and peer-to-peer messages as well as send faxes and text-to-voice messages. The Inter@ctive pager 950 was priced at $249, with service from BellSouth Wireless Data L.P. available for $25 per month. At the PCS '98 trade show in Orlando, RIM and Bell South Wireless Data announced they were working together with Sybase to develop a mobile enterprise solution that extended critical business applications to a two-way pager. The solution included the RIM Inter@ctive pager 950 and Sybase's UltraLite, a smaller version of its Adaptive Server Anywhere mobile database. The solution enabled corporate users to download and upload data on demand from their pagers.

Popularity of RIM's BlackBerry: 1999

Sensing that the time was right for corporate e-mail appliances, RIM introduced the BlackBerry mobile email solution in February 1999. The BlackBerry included a wearable wireless handheld device with service initially provided by BellSouth's wireless network in the United States and Cantel AT&T wireless data network in Canada. A unique aspect of the BlackBerry was that it featured a push system for e-mail delivery, whereby e-mail messages were relayed from the user's personal computer or corporate server to the BlackBerry without having to dial in. The BlackBerry was an always on, always connected product that never had to be turned off. At its introduction a BlackBerry subscription package was priced at $399 with a monthly service charge of $40. Around this time RIM introduced the BlackBerry Enterprise Server, an optional add-on server that allowed e-mail to be redirected from the server rather than the desktop.

Reviews that compared the BlackBerry with 3Com's just-released Palm VII PDA noted two key differences aside from the fact that the Palm VII cost $599 compared to $399 for the BlackBerry. The BlackBerry had to be left on at all times, as did the user's personal computer or corporate server, while the Palm had an antenna that had to be raised to work. Another key difference was that the BlackBerry notified users of new messages, while the Palm VII did not. Both products included an address book, calendar, task list, and alarm clock features.

For 1999, RIM's revenue more than doubled to US$47.5 million. Net income was US$6.8 million. During the second half of 1999 RIM announced that several operators were offering RIM messaging solutions. In the United States RGN Corp. became the first Internet service provider (ISP) to offer the BlackBerry wireless e-mail solution to subscribers. GoAmerica Communications Corp. announced its support of email access for the Inter@ctive 950 pager and BlackBerry service. Internationally, Venezuela-based Telcel Cellular became the first Mobitex operator in Latin America to offer a messaging solution using RIM's Inter@ctive 950e pager, which was the Spanish-language version of the Inter@ctive 950. The Blackberry unit allows the user both access to and the capability to work with a wide range of business applications, including such things as: y y y y y y y y work and personal email accounts calendar address book task list internet telephone intranet access software access, such as spreadsheets

The newest product introduced by RIM, the Blackberry Pearl, moves away from the B2B market, focusing instead on the consumer market. The Pearl is currently going head-to-head with Apple s iPhone. The Pearl responds to the increase in consumers demands for a product that allows access to various conveniences: y y y y y wireless email camera digital music player text messaging digital video

RIM also faced a few challenges in 1999. In August competitor Glenayre Technologies Inc. filed a patent infringement suit against RIM regarding a patented process involving power generation from a dual battery source. Glenayre claimed that RIM's Inter@ctive pager line used this patented process. In another development BellSouth delayed contract renewal negotiations with RIM. As a result RIM had to report lower-than-expected quarterly earnings. RIM's Inter@ctive pagers were contributing about 70 percent of the company's revenue, and BellSouth was the largest customer for those devices. However, new customers were being signed up, including American Mobile Satellite Corp. and Paging Network Inc. In addition, RIM signed a distribution agreement with Dell Computer whereby Dell account executives would sell BlackBerry devices to large corporate accounts. News of the distribution agreement helped boost RIM's stock price to more than C$80 per share by the end of 1999, up from C$46.20 on November 1.

New Competitors, Leading to Upgrades: 2000

RIM's BlackBerry enjoyed good reviews and was named Product of the Year by InfoWorld, which said, "The BlackBerry wins hands down when it comes to easy and timely access to e-mail messages." In January 2000 RIM and Canadian telecommunications giant Nortel entered into a joint marketing and product development agreement, which included a $25 million investment in RIM by Nortel. It was expected that the joint agreement would lead to making RIM's Inter@ctive pagers and BlackBerry service available in Europe. RIM also signed another agreement with Compaq Computer, which agreed to distribute RIM's BlackBerry service to its corporate clients.

For 2000, RIM reported revenue of US$85 million and net income of US$10.2 million. In April 2000 the company received a C$34 million investment from the Canadian government under its Technology Partnerships Canada (TPC) program. Around this time RIM introduced the first of its Wireless Handheld products, the BlackBerry 957, priced at $149. It featured a larger screen than the BlackBerry 950, a 32-bit Intel 386 processor, five megabytes (MB) of Intel flash memory, keyboard, embedded wireless modem,

integrated organizer, and full support for the BlackBerry wireless e-mail solution. RIM also upgraded the BlackBerry 950, giving it four MB of memory, and introduced version 2.0 of its BlackBerry software to support both the 950 and the 957.

By mid-2000 RIM's BlackBerry service was hosted by numerous ISPs. The company had just signed a partnership agreement with America Online (AOL) to provide AOL Mail and AOL Instant Messenger service through RIM handheld devices. While Palm, Inc.'s line of PDAs held the largest market share, RIM was doing well serving the niche market of professionals who required mobile access to businessrelated e-mail. RIM had about 200,000 BlackBerry units in use, with about 50,000 of them at corporations. Other competitors included Motorola and OmniSky, and in the second half of 2000 Handspring Inc., a new company formed by Palm founder Jeff Hawkins.

By the end of 2000 RIM had released the AOL Mobile Communicator as part of its agreement with AOL. The device--part of AOL's new "AOL Anywhere" strategy--was a two-way pager that let users access AOL e-mail and instant messaging services. In other developments the company teamed with Certicom to provide secure transactions over its handheld devices, and it reached a new agreement with BellSouth Wireless Data to supply the company with 150,000 wireless handheld devices. BellSouth also agreed to offer the BlackBerry wireless e-mail solution to its corporate clients. In another development RIM licensed CDMA (code division multiple access) technology and patents from Qualcomm Inc., which allowed the company to expand its customer base to include wireless users on CDMA cellular and PCS networks.

In November 2000 Lazardis committed C$100 million to fund the Perimeter Institute for Theoretical Physics in Waterloo, Ontario, starting with a C$20 million donation. It was the largest philanthropic gift in Canadian history.

Expansion of BlackBerry Service: 2001

In 2001 BlackBerry wireless e-mail service became more widely available in Europe. In April the British wireless service, BT Cellnet, committed to purchasing 175,000 wireless handheld devices and related software from RIM. Other agreements were signed with Esat Digifone in Ireland and Telfort Mobiel in the Netherlands to offer BlackBerry service.

RIM also expanded in the United States through agreements with companies such as IBM, which agreed to issue about 6,500 BlackBerry devices to its field-support staff and market the service to its customers. Vaultus, a wireless solution provider, agreed to supply at least 50,000 BlackBerry devices to its Global

1000 corporate customers over the next two years. RIM also took steps to target the U.S. military market. It reached an agreement with Kasten Chase to develop secure wireless access to the U.S. government's Defense Messaging System, which had 300,000 users globally. The overall military market included more than two million defense personnel.

Throughout 2001 RIM added enhancements to its products. In January it introduced the BlackBerry Enterprise Edition server for Lotus Notes and Domino. Previously, the BlackBerry system worked only with Microsoft Exchange servers, which had about 58 million users. Lotus Notes and Domino servers had about 65 million users.

In March RIM introduced the BlackBerry Enterprise Server 2.1 at the CTIA Wireless 2001 trade show in Las Vegas. The new version enabled web access for BlackBerrys for the first time and also allowed users to send updated calendar information to and from their central system. At the same time the company announced an alliance with GoAmerica Communications Corp. that allowed wireless downloads. These enhancements moved RIM's BlackBerry service significantly beyond wireless e-mail.

For 2001, RIM's revenue more than doubled to US$221.3 million. However, increased operating expenses resulted in a net operating loss of US$4.7 million. The company's overall net loss was US$7.6 million. For the year RIM reported it had nearly 164,000 BlackBerry subscribers in 7,800 companies. By the end of 2001 there were more than 12,000 organizations in North America using BlackBerry, according to Wireless Cellular magazine.

In May 2001 RIM filed a patent and trademark infringement complaint against competitor Glenayre Technologies Inc., claiming that Glenayre blatantly imitated BlackBerry technology and marketing. Around this time RIM also obtained a U.S. patent called the BlackBerry Single Mailbox Integration patent, which covered technology that gave users the ability to have a single e-mail address on both wireless and desktop systems. The patent applied to the system and method that RIM pioneered for redirecting information between a host computer system and a mobile communications device. Later in 2001 Glenayre's 1999 patent suit against RIM was dismissed. In early 2002 RIM and Glenayre agreed to drop their lawsuits and work together to develop a wireless e-mail device that would incorporate Glenayre's messaging software.

In other developments, RIM expanded its presence in the consumer market by supplying Earthlink Inc. with BlackBerry service for its mobile messaging platform. Cingular Interactive, a wireless service provider, was also selling RIM devices to the general public. AOL, meanwhile, dropped the price of its Mobile Communicator from $320 to $99.95. In the enterprise market, RIM signed an agreement with software developer SAP AG to provide wireless access to its enterprise resource planning (ERP)

applications. In October PeopleSoft became the first enterprise applications vendor to offer a secure wireless e-mail solution using BlackBerry in the European market. Following the terrorist attacks on Washington, D.C., and New York City on September 11, 2001, BlackBerrys were handed out to all 435 members of the U.S. House of Representatives as a security measure. BlackBerrys were also cited as providing much needed communications during the crisis, and in January 2002 it was reported that police officers at Boston's Logan Airport were now equipped with BlackBerrys. By the beginning of 2002 RIM could boast that it had 250,000 BlackBerry subscribers among more than 12,000 companies.

Expanding Options, Entering New Markets: 2002-03

At the beginning of 2002 RIM announced that it was developing a wireless device capable of handling both voice and data communications. The new BlackBerry device was being developed in association with Nextel Communications Inc. and Motorola. An agreement with VoiceStream Wireless Corp. also laid the groundwork for the new generation of voice-enabled BlackBerry devices, which would run on VoiceStream's GSM/GPRS (Global System for Mobile Communications/General Packet Radio Service), instead of on RIM's less advanced pager network. RIM also teamed with AT&T Wireless to offer AT&T Wireless's corporate customers a BlackBerry that could place telephone calls over AT&T Wireless's GSM/GPRS network. In Canada a similar agreement was reached with Rogers AT&T Wireless, which was developing its own GSM/GPRS network to reach more than 90 percent of all Canadians.

RIM's new BlackBerry with phone service and always-on e-mail connectivity was introduced in March 2002. The BlackBerry 5810 could be purchased through network carriers, including AT&T Wireless, Voice Stream, and Cingular Wireless in the United States and Rogers Wireless and Microcell Telecommunications in Canada. Pricing was determined by the carriers, with VoiceStream offering the 5810 for $499 plus a monthly fee of $39.99 for the data package, which included one MB of web downloads. Voice service required a separate account. A similar device, the BlackBerry 5820, was being shipped to the European market. Around this time competitor Handspring launched its all-in-one communication device, the Treo.

With competitors releasing their PDA designs to manufacturers, RIM announced in April 2002 that it would make its BlackBerry designs available to OEMs and original device manufacturers (ODMs). RIM said it would provide consulting, interoperability testing and certification, and hardware and software blueprints. In addition, Analog Devices Inc., which supplied processors for RIM's devices, agreed to provide participating manufacturers with integrated processors that supported both GSM/GPRS wireless communications and Java applications.

RIM's expansion into European markets proceeded in 2002. In April the U.K. mobile operator Vodafone agreed to market BlackBerry wireless devices that operated over its GPRS network in the United Kingdom. In mid-2002 BlackBerry service was launched to corporate customers in Germany through an agreement with Deutsche Telekom, which had recently acquired U.S. wireless operator VoiceStream. Around this time BlackBerry service was also launched in France through an agreement with Vivendi Universal's mobile subsidiary SFR, which operated a GPRS network, and in Italy through Telecom Italia Mobile. In January 2003 BlackBerry service was introduced in Spain through an agreement with Telefnica Mviles S.A. and in Switzerland through an agreement with Swisscom Mobile.

In July 2002 InfoWorld magazine announced the results of its Readers' Choice Awards. RIM's BlackBerry won four separate awards, including Product of the Year and Best Handheld for the BlackBerry 957 and Gadget of the Year and Best Wireless Product for the BlackBerry 5810. PC Magazine gave the BlackBerry 957 its Editor's Choice Award for 2002. In another development RIM obtained a contract with the National Security Agency to provide it with customized BlackBerry devices that met the stringent security standards of governmental organizations.

RIM continued to add new product features, introduce new models, and partner with technology providers throughout 2002 and 2003. An agreement with BEA Systems Inc. called for the development of a framework to build web-based applications and services for BlackBerry devices. New software developed by Onset Technology Inc. enabled BlackBerry users to go to a specific web page or do a Google search without launching a browser. The software, called MetaMessage 4.0, also added network printing capabilities to the fax printing capabilities of earlier versions. Applications from providers such as Arizan Corp., Good Technology Inc., and Onset Technology enabled BlackBerry users to view e-mail attachments. An enterprise solution that made it easy to print from BlackBerry devices was developed in conjunction with Hewlett-Packard and Adobe Systems.

New BlackBerry models introduced in 2002 and 2003 included the 6710 and the 6720, which were Javabased and included an integrated speaker/microphone and delivered e-mail, phone, SMS, browser, and organizer applications. The BlackBerry 6510, which functioned as a walkie-talkie, was introduced by Nextel at the end of 2002, and Nokia announced it was developing a BlackBerry 6800 that functioned as a cell phone. In February 2003 RIM introduced a new, low-cost 6200 BlackBerry series that was designed to sell for about C$200. Comparable models, the 6210 and 6220, were launched for the European market. They were smaller than earlier BlackBerry versions but had more memory.

Patent litigation
Since the turn of the century, RIM has been embroiled in a series of suits relating to alleged patent infringement.[14]

In 2001, Research In Motion sued competitor Glenayre Electronics

[15]

Inc for patent infringement, partly in

[16]

response to an earlier infringement suit filed by Glenayre against RIM. RIM sought an injunction to prevent Glenayre from infringing on RIM's "Single Mailbox Integration" patent. settled. The suit was ultimately

RIM continued to be involved in patent infringement suits in 2002. Good Technology, which developed and sold e-mail software that ran on BlackBerry devices, filed a defensive lawsuit against RIM in anticipation of being sued by RIM. RIM subsequently filed complaints against Good Technology as well as against competitor Handspring. In November RIM agreed to dismiss its suit against Handspring and license some of its keyboard patents to Handspring. In another development, RIM lost a patent suit brought against it by Chicago-based NTP, Inc., which held a patent that the court said was used to power BlackBerry devices. In early 2003 the U.S. Patent and Trademark Office announced it would review the decision in NTP, Inc. vs. Research in Motion and re-examine five RIM patents.
Since the turn of the century, RIM has been embroiled in a series of suits relating to alleged patent infringement.[14] In 2001, Research In Motion sued competitor Glenayre Electronics[15] Inc for patent infringement, partly in response to an earlier infringement suit filed by Glenayre against RIM. RIM sought an injunction to prevent Glenayre from infringing on RIM's "Single Mailbox Integration" patent.[16] The suit was ultimately settled.

On January 22, 2010, Motorola requested that all BlackBerry smartphones be banned from being imported into the United States for infringing upon five of Motorola's patents. Their patents for "early-stage innovations", including UI, power management and WiFi, are in question.[27] RIM countersued later the same day, alleging anticompetitive behaviour and that Motorola had broken a 2003 licensing agreement by refusing to extend licensing terms beyond 2008.[28] The companies settled out of court on June 11, 2010.[29]
[edit]

Acquisitions

Alt-N Technologies
Alt-N Technologies, Ltd., a software development company and division of Research In Motion (RIM) founded in 1996 by Arvel Hathcock produces and sells the MDaemon email server for

Windows.

[30]

Alt-N Technologies develops email messaging and security server applications for

the medium and small business communities. Alt-N Technologies products are sold and supported internationally through a network of distributors and resellers.[31

Products
Software Products
  MDaemon Multi-language SMTP/POP3 mail server software SecurityGateway Email spam firewall server software that protects Microsoft Exchange and SMTP Servers from spam and malware.  RelayFax email-to-fax and fax-to-email server software.

Hardware Products
 MDaemon Email Server Appliance Integrates MDaemon and SecurityPlus for MDaemon software into a single server appliance

Industry Participation
    Online Trust Alliance (OTA) Domain Assurance Council (DAC) Internet Engineering Task Force (IETF) Messaging Anti-Abuse Working Group (MAAWG)

Industry Awards
Online Trust Alliance (OTA) 2007 Online Safety Leadership Award

Certicom
Certicom Corp. is a cryptography company founded in 1985 by Gordon Agnew, Ron Mullin and Scott Vanstone. The Certicom intellectual property portfolio includes over 350 patents and patents pending worldwide that cover key aspects of elliptic curve cryptography (ECC): software optimizations, efficient hardware implementations, methods to enhance the security, and various cryptographic protocols.[citation needed] The National Security Agency (NSA) has licensed 26 of Certicom's ECC patents as a way of clearing the way for the implementation of elliptic curves to protect US and allied government information. Certicom's current customers include General Dynamics, Motorola, Oracle, Research In Motion and Unisys.

On January 23, 2009, VeriSign entered into an agreement to acquire Certicom. Research In Motion put in a counter-offer, which was deemed superior. VeriSign did not match this offer, and so Certicom announced an agreement to be acquired by RIM Upon the completion of this transaction, Certicom became a wholly owned subsidiary of RIM, and was de-listed from the Toronto Stock Exchange on March 25, 2009.

DataViz
DataViz, Inc. is a software company located in Milford, Connecticut. They sell RoadSync, and MacLinkPlus. MacLinkPlus is a Macintosh program for converting files from one format to another. RoadSync utilizes the Microsoft Exchange ActiveSync protocol to access Exchange information which includes e-mail, calendar and contact information. On 8 September 2010, they sold their office suite Documents To Go and other assets to Research In Motion for $50 million.

The Astonishing Tribe

The Astonishing Tribe (TAT) is a company with headquarters in Malm, Sweden. Founded in February 2002 by Mikael Tellhed, Ludvig Linge, Paul Blomdahl, Karl-Anders Johansson, Per Grimberg, and Hampus Jakobsson. TAT started out as a hobby project and for the first year the company worked with TV commercials, animation, post production for film, consultancy services within image compression for embedded systems, and interactive art.TAT was acquired by Research in Motion (RIM), the maker of the Blackberry smartphone, on 2 December 2010. They are set to bring "their talent to the BlackBerry PlayBook and smartphone platforms During the second year the company got traction in the mobile industry and started to employ people. Focus shifted completely to user interfaces, especially licensing technology for rendering and structuring of the user interface. As of September 2010 over 180 employees work for TAT at the offices in Sweden, South Korea, the United States, and the newly opened office in Japan. TAT works with some of the biggest mobile brands such as Samsung, Sony Ericsson, Orange and, Motorola. TAT also license software to other industries such as automotive and consumer electronics. Some of the founding members have a history from the demo group Yodel. This group made a contribution to The Party 1996 called The Astonishing Tribe.

RIM stock option scandal settlement

In 2007 Co-CEO Jim Balsillie was forced to resign as chairman as the company announced a $250million earnings restatement relating to mistakes in how it granted stock options. Furthermore, an internal review found that hundreds of stock-option grants had been backdated, timed to a low share price to make them more lucrative.

In January 2009, Canadian regulators stated that they were seeking a record penalty of $80 million USD from the top two executives, Co-CEOs Jim Balsillie and Mike Lazaridis. Furthermore, the Ontario Securities Commission (OSC) has pushed for Balsillie to pay the bulk of any penalty and relinquish his seat on RIM's board of directors for a period of time. On February 5, 2009, several executives and directors of Research In Motion agreed to pay the penalties to settle an investigation into the backdating of stock options. The Ontario Securities Commission approved the arrangement in a closed-door meeting. Under the terms of a settlement agreement with the OSC, RIM co-chief executive officers Jim Balsillie and Mike Lazaridis, as well as chief operating officer Dennis Kavelman, will jointly pay a total of $68million (CDN) to RIM to reimburse the company for losses from the backdating and for the costs of a long internal investigation. The three are also required to pay $9-million (CDN) to the OSC. Mr. Balsillie will step down from RIM's board of directors for a year, but will remain in his executive role

The RIM Culture

RIM has a well-developed corporate culture that celebrates achievement, creativity, and risk taking. It develops a workforce motivated to achieve beyond its potential. The company supports this environment through a variety of participative opportunities and programs.

Employees at RIM are compensated by base pay, merit pay, and benefits. Benefits include a free Blackberry, on-site massage, subsidy for gym fitness membership, and opportunities to participate in a variety of wellness programs. Social events include holiday parties, picnics, and team-building activities.

Corporate Structure

RIM is lead by an executive team comprised of co-CEOs. Balsillie also holds the position of chairman, while Lazaridis is also the company president. There are two chief operating officers; a chief financial officer; a vice-president, Enterprise Business Unit; and vice-president, Corporate Marketing.

There have been recent concerns among industry analysts and company enthusiasts about the decision to continue operating with two CEOs, and about the status of the board of directors of the company.

Many feel that RIM should reconsider the co-CEO management decision. An article in Canadian Business states that RIM should follow Microsoft s example and make Lazaridis the chief technology officer instead of co-CEO . Also causing concern and disappointment is the fact that, as the company grows its global business, as of 2006, the board of directors is still entirely made up of Canadians.

Jim Balsillie is viewed as the public face of RIM, having a more charismatic and out-going personality that people identify with. As well, he brings a wealth of business knowledge to the company, holding both a degree in commerce and an MBA. He is responsible for driving corporate strategy, business development, marketing, sales, and finance. Lazaridis, with his engineering degree, prefers to work in the background leading the technology innovation. He is passionate about science and electronics, and is responsible for product strategy, research and development, product development, and manufacturing for the company.3

Corporate Philanthropy

RIM is famous for its corporate giving. It strongly believes that it is important to give back to the community in which it operates. Communities support businesses and, in return, businesses must support communities a symbiotic relationship. Both Balsillie and Lazaridis have been honoured for the leadership and financial contributions they have independently made to many Kitchener-Waterloo based organizations. Balsillie has donated money for a cancer-care centre at the Grand River Hospital in Kitchener-Waterloo as well as founded, and continues to fund, the Waterloo Children s Museum. Lazaridis donated $100 million to establish a world-class think tank, the Perimeter Institute for Theoretical Physics, in Waterloo. He also donated $50 million to the University of Waterloo, to help create the Institute for Quantum Computing.

Top management
Jim Balsillie Co-Chief Executive Officer Research In Motion

Mike Lazaridis

President and Co-Chief Executive Officer Research In Motion

Don Morrison Chief Operating Officer

Robin Bienfait Chief Information Officer

Brian Bidulka Chief Financial Officer

David Yach Chief Technology Officer, Software

Jim Rowan Chief Operating Officer, Global Manufacturing & Supply Chain Research In Motion

Thorsten Heins Chief Operating Officer, Product Engineering, Research In Motion

SWOT Analysis Blackberry Swot Analysis: Strengths: Brand image- Blackberry has one of the best Images for mobile phones in the market today. Its diverse business has a variety of products for its wide range of consumers

Innovative Product- the Blackberrys software is well designed. The phone is highly secure and it integrates well with other platforms. It works well with several carriers and it can be deployed globally. The phone is very easy to manage and it has a longer than usual battery life. Financial perfomence Push based artichture Product differentiation Product Features- the Blackberry has a small form-factor with an easy-to-use keyboard. The company holds patents for the thumbwheel and QWERTY keyboard found on the device. It also has a speedy mobile e-mail provider and the Blackberry has coverage in many major countries. The Blackberry does very well in managing e-mail in a mobile environment. The global usage of the Blackberry is one of its best known assets. Weaknesses: Global Coverage Dependence- Rims business model (selling purely through operators) means it is dependent on its operators when it comes to launch Blackberrys services. This takes a lot of time and the cost of launching this can be high for small time operators Cost of Ownership- the Blackberry has a high total cost of ownership. Blackberry is known as a high-end product that is very costly for enterprises that want to provide email across large organizations. Their competitors have marketed a cheaper price compared to Blackberry Blackberry Features- When it comes to critical applications, the Blackberry struggles. It does not have a very large storage of third-party software. When it comes to most people, its main feature is the email utility. Target market Touch screen

Opportunities:

Variety of Offerings for Mobile Workers- Growing consumers will need to be satisfied and Blackberry will be there in the future to satisfy them. They will look to expand email globally across a diverse market and use it in the workforce. People understand the value of this but are not willing to pay a premium. Extends The Range Of Third-Party Blackberry Devices- When Blackberry licenses its software through Blackberry connect and Blackberry programs, Blackberry is able to grow dominance against other users who prefer Blackberrys platforms. Its easily addressable in global markets and features certain products in markets worldwide. Threats: Competition- Blackberry is facing tougher competition more than ever before. The iPhone being one of the dominant phones in the market. There are a range of suppliers worldwide that compete with Blackberry every day. Blackberry also competes with its operators; many of them have launched their own branded e-mail service. Many people consider other mobile products alternatives and people will use these products as a substitute which Blackberry must compete with. Competitive Analysis (Apple vs RIM) RIM has a strong customer base from professionals, whereas Apple attracts many average users. RIM has a good reputation in the smart phone business. Apple is new to the smart phone business, but with its strong electronic history and reputation, its sales and market share of the smart phone business are growing rapidly. Apple tends to target its phones to people who seek for media. Also, Apple has stronger foundation and capital to support its after-sale services. The prices for the new Blackberry and new iPhones are very close, but Apple is willing to drop iPhones price in order to increase its sale and market domination. If RIM follows, its profit will reduce, and it does not have as many other products as Apple to compensate the loss of profit. Target Market BLACKBERRY Business people

o Email o Microsoft office o Higher business persons price Students o Web browsing and Facebook application o Blackberry messenger o More functionalities of a regular phone than originally o App world can download games Currently available with almost any phone carrier Becoming more consumer based than just consumer based with style and function IPHONE Students o Email is helpful, but they also like phone & music in one device o Teenagers want newest & coolest. Video Game players o Applications of video games on the go Apple brand loyal customers Not as much targeted for business professionals o No office options o Cannot download third party programs Rogers & Fido customers Mostly consumer based as shown by looks, available application and marketing/advertising RECOMMENDATIONS Alternative 1 Product development strategy Improve RIMs App world Though Research in Motion's BlackBerry also run apps (including some of the same ones as for the iPhone), BlackBerry's App World offers only a little better than 2,000 apps. Apple's App Store boasts more than 65,000. This strategy will

focus on developing all sorts of apps for the Blackberry to compete better with the iTunes Store, such as games, entertainment and those that enhanced business-travel productivity. Advantages Deftly morph from a business-focused handset to a more consumer-friendly device. Attract more entertainment-focused users opportunity to market App World as a high-end retail for on-the-go users allowing the company to polish its image as it creates a lucrative new revenue stream with premium mobile applications. Able to compete with iTunes Store in the market segment of hip consumers Disadvantages Long term investment Risk of capital Repositioning failure Alternative 2 Market development strategy develop the non-North American markets with a focus on European and Asian nations. RIM sold 7.8 million BlackBerrys during its fiscal fourth quarter, which ended Feb. 28, 2009. Apple sold 7.4 million iPhones, up 7 percent in its fourth quarter ended September 26, 2009. Widespread availability of the Curve in the US helped its market share jump a yearly 15 percent more; in comparison to the 10 percent drop in US market share of the iPhone. Rim is taking back the smart phone market from Apple. But Apples CFO Peter Oppenheimer told investors that the company intends to sell the iPhone to Chinese consumers as part of its global rollout plan. In Canada Rogers Communication Inc. is currently the only mobile company that is offering the iPhone. Apple intends to bring the phone to both Bell Canada Inc. and TELUS Corp. to help boost revenues.

The top 10 devices for January were: 1. BlackBerry Curve 2. Apple iPhone 3. BlackBerry Storm 4. LG Voyager 5. LG Dare 6. BlackBerry Bold 7. Samsung Rant 8. Samsung Behold 9. Samsung Instinct 10. LG Env2 We believe if RIM wants to continue its dominance in the market it needs to market its devices more over in Asia and Europe. Companies such as Nokia and Samsung largely dominate the European and Asian Markets. RIM should follow Apples footsteps and hit the Chinese consumers. As well and work on Research and Development to make the smart phone more adaptable for European and Asian markets. The devices are increasingly being used in developing nations as substitutes for home computers and Internet connections. One hot market for BlackBerry is Indonesia. This strategy will focus on developing RIMs Smartphone to grow the market share of other countries, such as Indonesia and China. Advantages Make RIM become a more globally known brand. Large potential market Disadvantages The company must deal with differences in government regulations, cultural traditions, supply chain considerations, and language. Require a large amount of money and time investment. Competition from Smartphone manufacturers within the countries Alternative 3 Cooperate with competitor. Form a partnership with Nokia, the best selling phone company in the world, to get a win-win strategy for both companies. If it is successful, RIM will have lesser competitors in the field and more resources and technology support by Nokia. Advantages Lesser competitors in the phone industry Combine Nokias media technology with RIMs business technology into one to reduce the cost of products

development Lesser risk of repositioning failure RIM can benefits the current market share that Nokia has in other country to reduce the risk and cost of market development Disadvantages Higher risk to be taken over by Nokia Private information and technology will be disclosed to Nokia RIM will be no longer a unique brand Policies, strategies, and other activities need to be agreed by both companies. Solution Alternative 2, the marketing development strategy plan. This alternative would be the best plan because RIM would get more international popularity and exposure, and would have potential for growth. In addition, it is the most cost effective and the most direct approach. Blackberry already holds the highest market share for smart phones, and in order to continue to hold it, they should further enter and expand on the market that Apple holds, which is more consumer, based. Implementation Plan Branding is the first steps. RIM need to position itself as the leading smart phones for professionals in other countries such as China, India and Indonesia by investing in advertisements. The second step is to make negotiations with major phone services provider in other countries, so they will help RIM to promote their phones. The third step is to get better operational excellence. Operational excellence helps RIM to reduce the cost of the long supply chain, so RIM can reduce its selling price to meet the living standard in other countries. The lower the price of RIM phones, the more they will sell and the more market dominance they will have. Plan B Improve RIMs App world This strategy aims to make Blackberry a more consumer-friendly device, and to attract more entertainment-focused uses. This strategy enables RIM to compete with iTunes Store in the market segment of hip consumers, so that to expand its target market.

Course Concepts SWOT Analysis We use this method to analyze the strengths, weaknesses, opportunities and threats of both iPhone and Blackberry. Market Development Strategy employs the existing marketing offering to reach new market segments, whether domestic or international. This concept we use it in the second alternative of recommendations to market Blackberry to other countries Product Development Strategy offers a new product or service to a firms current target market We use this strategy as our first alternative to develop the app world to target more entertainment-focused users.