Blackberry maker RIM thinks that, if it is to become competitive again, it too needs something cloud-y for its users. So it has bought an Irish outfit called NewBay, with early reports suggesting the price tag at $100 million.
NewBay describes itself as a “leader” in digital content, and delivering that content through connected devices like mobiles, PCs, tablets and TVs. Just the sort of the the other mobile manufacturers have their eyes on, then. No doubt with its latest last-ditch product push, RIM will seek to claw back some market share from its fancy rivals in high-end Android and Apple devices.
RIM will be buying out pleased venture capitalists at Balderton and Fidelity. The Irish Times also claims NewBay had revenues of €18 million in 2009. Though the company had been working at a loss, the reported $100 million is quite the mark-up. NewBay’s 200-strong software development team is expected to stay in Dublin.
RIM itself is not saying much. All it has released officially for now is: “We can confirm that RIM has signed an agreement to acquire NewBay Software. We will let you know once the deal has closed.
“The terms of the deal were not disclosed but are not financially material to RIM.”
An interesting point, that last one. Perhaps it has more cash to splash because it recently axed 2,000 staff. A full statement is on the way.
Canada’s RIM, critics say, has been struggling to keep its head above water as the mobile industry rushes forward without it. A grim fiscal outlook troubled Wall Street but shares recovered when there was talk of a fresh pair of hands to steer it clear.