RIM is talked about in a report today about the Federal Government letting workers pick mobile phones spells trouble for RIM and Blackberry phone
RIM has had a long relationship with the US Government and has been the mobile phone of choice because of its built in security which the federal government has long valued. The iPhone and Android mobile phones have been working to make inroads into usage as an approved mobile device for years and it appears that all of that effort has turned successful for them. This spells trouble for RIM and the future for the Blackberry phones
The federal government is now embracing what some are calling the consumerization of IT for them. The current CIO, Vivek Kundra, for the federal government is behind these moves as more workers use personal devices, mobile phones and tablets, to perform activities as part of their job. It is speculated that RIM’s lack of a software platform that allows for 3rd party apps is also part of the changing ways that are now taking place. The impact to RIM and the Blackberry phones as the US Government opens the doors to other companies and technologies is going to affect their bottom line at a time RIM is already struggling.
RIM’s stock price has taken a decline today based on the many reports that are coming out regarding the expansion of authorized mobile phones with the US Government. There many areas of the government which have already embraced the iPad, such as the ATF, and even President Obama is using an iPad. These are opening the door to many other companies to break the RIM control they have had for so long. As a result, RIM has recently announced the ability for the iPhone and Android phones to have the ability to connect to their secure mail system. That change, which was not widely published, is an admission that they are losing control of the government and corporate America and are facing the realities that now faces RIM.
This whole situation for RIM is something that has been going on for years and is no big surprise for them. Various areas of the federal government have been reducing their reliance on RIM and the Blackberry phones for years. All of these changes are not new as it has been going on for years. The movement of some agencies to GMail from Microsoft Exchange is another part of the opening up of technology and there will be much more of it going on for the next few years.
How long it will be before the President changes to an iPhone is not know, but if he does, there will be an impact to RIM as they will have lost the current recognition that they enjoy. The days of having exclusive relationships on technology with the US Government are gone.