Three top U.S. wireless carriers to embrace BlackBerry 10
(Reuters) - Three of the top U.S. cellphone carriers signaled this week that they would support Research In Motion's (RIM.TO) BlackBerry 10 products, the first of which are due to be unveiled Jan 30, offering a hopeful sign for RIM's comeback effort.
Context & Ripple Effects
Carrier backing is a reversal of the distribution problem documented in September, when RIM’s handsets were losing carrier shelf space and mindshare. It also turns the company’s claim that more than 50 carriers were testing BlackBerry 10 into a consequential U.S. launch signal ahead of the January 30 unveiling.
For RIM, carrier support matters because the launch depends on operators choosing to range, promote and sell the new devices rather than merely permitting them on their networks. The same story’s broad pickup across wireless and consumer-tech outlets underscores how closely the comeback effort is being watched.
First-order effects
- RIM gains access to three leading U.S. carrier sales channels for its first BlackBerry 10 devices, improving the practical reach of the January 30 launch.
- The supporting carriers must allocate retail, training and promotional attention to BlackBerry 10 after RIM had been losing shelf presence.
Second-order effects
- RIM’s U.S. distribution recovery puts pressure on its launch execution: carrier testing and support only translate into sales if the devices earn sustained placement and promotion.
- Carrier support gives RIM a stronger basis for its earlier stated interest in licensing BlackBerry 10, because a platform proposition is more credible with an established operator route to market.
Third-order effects
- The episode points to a smartphone market in which carrier endorsement remains a gatekeeper for platform revivals: software and hardware launches need retail distribution as well as product readiness.
- If operators continue to support multiple mobile platforms, handset competition will hinge partly on which vendors can restore carrier confidence after losing it.
The trend: BlackBerry 10 is a test of whether a weakened handset platform can rebuild through carrier distribution before product launch momentum fades.