RIM’s Response to 'Open Letter' • Hacker News Board

Re: RIM’s Response to 'Open Letter'

#41

Post by redsymbol » Thu, Jun 30, 2011, 9:09 PM UTC

I'm thinking about the response I'd choose if I were in one of the CEO seats at RIM, and I'm not sure I could have improved on this response. As noted, it's kind of content free and does not acknowledge any responsibility. But RIM had to make SOME short-term press release response that communicates the company strengths. No response would carry risk of a strong negative press and social media response.

At the same time, I'm not sure they could have clearly addressed any of the specific criticisms in the open letter, for fear of prematurely revealing company strategies and plans. (And don't give me a line about how companies need to be more open; every company with any competition has to be ever vigilant about that, for competitive and other reasons.) Note also that they didn't claim any of the specific criticisms were invalid.

(Well, actually maybe they could have toned down the FUD on the source in the first paragraph a bit. But I think they had to include some of it, frankly; unless/until a RIM exec publicly claims responsibility, none of us know for sure it's from who it claims it is.)

Re: RIM’s Response to 'Open Letter'

#42

Post by ptbello » Thu, Jun 30, 2011, 9:10 PM UTC

shawndumas wrote: post #32

Why is it "obviously difficult to address anonymous commentary"?

Well, if it hadn't been anonymous, it would have been easier to fire the guy.

Re: RIM’s Response to 'Open Letter'

#43

Post by VladRussian » Thu, Jun 30, 2011, 9:11 PM UTC

kin wrote: post #9

This response is meaningless. Any public company will say the same jargon to reassure their shareholders but I will put money down that internally RIM executives are dwelling on the letter and taking action.

> and taking action.

i think right now they are in the meeting discussing action plan to put together plan of actions.

Re: RIM’s Response to 'Open Letter'

#44

Post by hvs » Thu, Jun 30, 2011, 9:14 PM UTC

TomOfTTB wrote: post #30

hvs wrote: post #2

RIM has $3 Billion in cash? I guess I'm not that surprised, but that's quite a bit of "help us get back on our feet money." With some clear direction (which they may or may not get from their current executives) they could definitely regain some of their previous market. The more competition the better, and having another player in the mobile space can only improve things for the consumer (and the enterprise).

It really isn't that much. Look at it this way... The way a corporate balance sheet works you don't spend money manufacturing your product. What you do is convert the asset from money to a physical product you can sell. But that asset is still on your books as being worth whatever you paid to manufacture it. RIM claims to have "shipped" 13.2 Million smartphones in the last quarter (as opposed to "sold"). Assume their…

I understand that part of accounting, but I didn't think that it was listed as "cash" on the balance sheet.

Re: RIM’s Response to 'Open Letter'

#45

Post by ptbello » Thu, Jun 30, 2011, 9:23 PM UTC

sriramk wrote: post #20

I love RIM - they're the gift that doesn't stop giving for my new Tumblr http://corporatebs.tumblr.com/ ; :)

Brilliant site. Please, allow users to post comments and "translations" for each post!

Re: RIM’s Response to 'Open Letter'

#46

Post by kragen » Thu, Jun 30, 2011, 9:25 PM UTC

orky56 wrote: post #14

There is a fundamental business reality however that following an extended period of hyper growth (during which RIM nearly quadrupled in size over the past 5 years alone), it has become necessary for the company to streamline its operations in order to allow it to grow its business profitably while pursuing newer strategic opportunities. So basically they're saying they're taking a break from innovating and will spen…

I didn't read that as "we're taking a break from innovating". I read it as "we're about to do massive layoffs because we're gonna abandon our most successful products and bet the company on something unproven". But I don't know anything about what's going on with RIM.

Re: RIM’s Response to 'Open Letter'

#47

Post by RyanMcGreal » Thu, Jun 30, 2011, 9:27 PM UTC

TLDR: We're doing great, and things are only going to get better.

Re: RIM’s Response to 'Open Letter'

#48

Post by mikecane » Thu, Jun 30, 2011, 9:31 PM UTC

redsymbol wrote: post #41

I'm thinking about the response I'd choose if I were in one of the CEO seats at RIM, and I'm not sure I could have improved on this response. As noted, it's kind of content free and does not acknowledge any responsibility. But RIM had to make SOME short-term press release response that communicates the company strengths. No response would carry risk of a strong negative press and social media response. At the same ti…

Ed Colligan of Palm responded with more substance to Engadget during the Foleo debacle. That was one product. That RIM employee letter addresses systemic issues at a company about to slide into a Nokian abyss and in response they put out that? [typo edit]

Re: RIM’s Response to 'Open Letter'

#49

Post by technoslut » Thu, Jun 30, 2011, 9:34 PM UTC

tolmasky wrote: post #31

jessedhillon wrote: post #16

Earlier quoted context omitted.

It's a two paragraph response to a well-reasoned critique, which outlined several important, thoughtful points. By contrast, the response looks as though it was co-authored by an accountant and an HR rep. > ...it is particularly difficult to believe that a “high level employee” in good standing with the company would choose to anonymously publish a letter on the web rather than engage their fellow executives in a con…

Did the original letter even get that much traction? I got the impression it would have blown over tomorrow. Instead now they may get a Streisand effect.

It's not going to die anytime soon. I just saw Gellar on CNBC and he said that he has two more letters from people inside RIM. I got the impression that he will publish those as well.

Re: RIM’s Response to 'Open Letter'

#50

Post by dirtyaura » Thu, Jun 30, 2011, 9:36 PM UTC

TomOfTTB wrote: post #30

hvs wrote: post #2

RIM has $3 Billion in cash? I guess I'm not that surprised, but that's quite a bit of "help us get back on our feet money." With some clear direction (which they may or may not get from their current executives) they could definitely regain some of their previous market. The more competition the better, and having another player in the mobile space can only improve things for the consumer (and the enterprise).

It really isn't that much. Look at it this way... The way a corporate balance sheet works you don't spend money manufacturing your product. What you do is convert the asset from money to a physical product you can sell. But that asset is still on your books as being worth whatever you paid to manufacture it. RIM claims to have "shipped" 13.2 Million smartphones in the last quarter (as opposed to "sold"). Assume their…

Interesting. Are you saying that this inventory can still be listed under Cash & Equivalents (1,986M on 28/5/2011) on balance sheet? Or is it under Accounts Receivable (3,772M)? Does Total inventory (943M) then has phones that are not yet shipped?

(Values are from latest Balance Sheet data http://www.google.com/finance?q=NASDAQ:RIMM&fstype=ii )

I've recently started to learn to read financials more carefully, but all these nuances of corporate accounting can make it a fruitless effort.