Saturday, October 10, 2009

MSFT needs to buy Research in Motion

Blodget finally came up with something that made sense. The Bloomberg video is here.

Smartphones are the new computer, and MSFT sells operating systems. Windows Mobile averages about $12 of license revenue per unit; and sells about 30 million of them, RIMM makes a few hundred plus on each phone.

What AAPL and RIMM have shown is that in this business, you need to own both the software and hardware platforms to compete.

Therefore, for MSFT to compete, it needs to own RIMM.

1 comment:

Anonymous said...

Palmoni - this unfo will not happen. MSFT's bet on the mobile platform side is Windows Mobile and they will continue to push it ... as they fear Android taking over the open platform space. Buying a hardware platform is just not their style