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Monday, 17 October 2011 08:42

Costs of BlackBerry outage could be big

Written by David Stellmack



Some estimates suggest as high as $100 million


If you have been following the disaster that was RIM’s BlackBerry outage last week, you now know that things are finally back to normal. While users are angry and shaking their fists at RIM and complaining about their communication being the biggest issue, we have no clue what the damage could be for RIM both long term and short term.

Analysts are suggesting that besides the heavy hit the RIM stock price took, the compensation to deal with this entire thing could be at least $100 million and could go even higher. Compensation could be a big deal with RIM trying to hang onto corporate customers, and especially those enterprise customers that have been looking at iPhone and Android units as potential options in the future.

Carriers have apparently been promising customers that they intend to compensate BlackBerry customers for the outage and RIM’s problems. It is difficult to know yet what RIM’s strategy will be, but we do know that the company cannot afford to lose market share to other devices.
 


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