RIMM's Opportunity To Capitalize Is Served in [Market-Ticker]

Posted 2012-05-15 12:21
by Karl Denninger
in Company Specific

RIMM's Opportunity To Capitalize Is Served

And here it should come, but it probably won't as this company appears to continue to be brain-dead.

As I reported yesterday it appears that ZTE shipped an Android device with a built-in back door that gave anyone who knew the password unrestricted access to everything -- root.

This is an Android nightmare, long feared and now realized, that RIMM could -- and should -- exploit. And that nightmare didn't come from some random group of hackers on XDA who made a custom build either -- it appears that it came from a manufacturer.

I posted in my thread on that issue how to disable it, but that's not the point. The point is that you have to know it's there to turn it off, and many people don't know it's there.

This is what happens when you have no control over your codebase, incidentally. It's similar to the "Carrier IQ" controversy (which RIMM could also exploit!) but worse -- far worse, as this appears to have come out of a Chinese company and not be something the carriers wanted or integrated.

And it's something that won't happen if you're a RIMM Blackberry user, because RIMM controls the OS, not some Chinese firm that can build it and include a few "special surprises" for all those unwitting customers..

What does RIMM have over Apple (with "Carrier IQ") and Android (with "Carrier IQ" and now this latest bit of news)?

Security.

Having someone -- anyone -- able to break into your device and steal data about you, about what you're doing, about what you have stored on the device -- is an out-and-out nightmare. You have a very nice spying device in your pocket with you that can be easily used to turn your privacy into a bad joke. And with unrestricted "root" access that risk is not speculative, it is realized and in the wild no-BS real risk.

RIMM can and should immediately exploit these pieces of news, especially in the corporate and government markets where people are "clamoring" to "bring their own devices." How does a corporation or government deal with something like this?

It doesn't and can't.

These events are news folks, they are real risks, and people do -- and should, especially in the corporate and government space -- care.

Wake up RIMM.

Ps: Down more than 5% close to 6% more than 6% today on their own abject stupidity by refusing to capitalize on a clear softball lobbed right up in their face. Nice RIMMjob; this company is simply too clueless to survive.

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User Info	RIMM's Opportunity To Capitalize Is Served in forum [Market-Ticker]
Jstanley01 Posts: 8182 Incept: 2008-07-30 San Antonio, Texas	RIMM be nimble, RIMM be quick, RIMM trip over the candlestick and light its clothes on fire... ---------- You can't cheat an honest man. ~P.T. Barnum 2012-05-15 12:24:56 Permalink
Mannfm11 Posts: 3551 Incept: 2009-02-28 DFW, Tx	I sent those jackasses an email a month or so ago to read your posts Karl. They have significant operations here in the telecom corridor and I would hate to lose the jobs. I know little about this stuff, but it appears these guys are the 3 stooges in a fishing boat. You might recall Curly drilling a hole in the bottom of the boat to let the water out. ---------- The only function of economic forecasting is to make astrology look respectable.---John Kenneth Galbraith 2012-05-15 12:36:12 Permalink
Drb Posts: 195 Incept: 2011-01-02 TX	A few months ago a person on this forum was telling how he will move his software business to China and how it will be much better than having business in the US. I am not a specialist in computer anything, but I guess that if pharma has problems with outsourcing to certain countries, then there is not reason for other industries not to have problems. As Lenin said, the capitalists will sell us the rope with which we will hang them. 2012-05-15 13:08:50 Permalink
Nuke_engineer Posts: 2700 Incept: 2007-08-19	The other option is for a smart investor or company to takeover the "dying" RIMM and implement the solution as it should to make a lot of money through increased asset value. ---------- Trading and investing is understanding about people, emotions and corruption of government, corporations, banks and people using propaganda, lies, mathematics and bankster logic working against you. 2012-05-15 14:16:53 Permalink
Nuke_engineer Posts: 2700 Incept: 2007-08-19	Quote: As Lenin said, the capitalists will sell us the rope with which we will hang them. .....and make a profit at it as well to continue to fund the "revolution" at the same time! ---------- Trading and investing is understanding about people, emotions and corruption of government, corporations, banks and people using propaganda, lies, mathematics and bankster logic working against you. 2012-05-15 14:18:29 Permalink
Docj Posts: 999 Incept: 2009-09-10 Duck & Cover	RIM's (golden) opportunity may be served, but I fully expect - based on their recent history - for them to pass. Frankly, if I didn't know better I would think that Apple and Google have purchased all of RIM's top management. ---------- The preservation of liberty depends upon the intellectual and moral character of the people. As long as knowledge and virtue are diffused generally among the body of a nation it is impossible they should be enslaved. - John Adams 2012-05-15 14:49:20 Permalink
Pjstaff Posts: 245 Incept: 2008-01-21 Olympic Peninsula	Quote: The other option is for a smart investor or company to takeover the "dying" RIMM and implement the solution as it should to make a lot of money through increased asset value. I wouldn't be surprised to see Fairfax Financial going that route. 2012-05-15 19:08:55 Permalink
Striker754 Posts: 671 Incept: 2009-07-09	I can't believe that AAPL or GOOG haven't made a run at RIMM yet. Might be hard to clear through the US govt and Canadians but not even a try? They could buy out for a 50% premium for 9B!! Seems like chump change for either company and would be well worth it to capture the "keyboard" market and have access to all of RIMMs patents. 2012-05-15 21:18:06 Permalink
Brewcrew2 Posts: 149 Incept: 2011-02-18 New Jersey	I'm beginning to think that RIMM is shorting its own stock 2012-05-15 22:44:08 Permalink
Degaston Posts: 2264 Incept: 2007-07-27	This is what happens when you have non-technical people calling the shots on where investments are made inside technology companies. Just look at the companies that usually are the successful ones (such as Microsoft, Google, Facebook, Apple) and you'll see someone with a sharp technical brain being the one who ran the show when it comes to product decisions. One thing I've seen too often in my IT career are disasters that usually happen when you have some hotshot non-technical manager making technical decisions. If a manager doesn't know the ins-outs of the technology they should be relying on their project's lead architect to make those decisions and focus on making sure they have the smartest talent in those technical leadership roles. ---------- 3/17/2013: Bullish on nothing - 100 percent in cash. 2012-05-15 22:58:22 Permalink
Nuke_engineer Posts: 2700 Incept: 2007-08-19	Quote: I wouldn't be surprised to see Fairfax Financial going that route. Took your comment and I called Fairfax today about giving them a proposal and got referred to Hamblin Watsa. Interesting conversations have ensued into this evening. ---------- Trading and investing is understanding about people, emotions and corruption of government, corporations, banks and people using propaganda, lies, mathematics and bankster logic working against you. 2012-05-15 23:59:54 Permalink
Pjstaff Posts: 245 Incept: 2008-01-21 Olympic Peninsula	That's very interesting Nuke. Right now they own about 5% and have a seat on the board. Prem Watsa usually knows what he is doing even when everyone else thinks he's being crazy. 2012-05-16 00:48:12 Permalink
Pjstaff Posts: 245 Incept: 2008-01-21 Olympic Peninsula	Nuke, check your messages. 2012-05-16 12:10:15 Permalink
Asimov Posts: 104047 Incept: 2007-08-26 East Tennessee Eastern Time	Ya gotta wonder now... Why wouldn't they take advantage of it? I can only see one answer. (Well, two, if you include incompetence.) They're aware that their own code is not up to snuff (or simply aren't willing to risk that something gets found in the future) and don't want it coming back at them. ---------- It's justifiably immoral to deal morally with an immoral entity. If you trade based on what other people say, you will lose money. Especially what I say. I won't be held responsible. Festina lente. 2012-05-23 01:56:46 Permalink

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