RIM (RIMM) Forces 'Buggy' Devices Upon Carriers - BGR

June 20, 2011 12:19 PM EDT
Research In Motion (Nasdaq: RIMM) is allegedly strong-arming carriers into accepting their current offerings, despite concerns the devices may not live up to par.

According to BoyGeniusReport (BGR), RIM has been forcing carriers to accept its products which would normally not make it through the "Technical Acceptance" phase, as RIM looks to keep itself afloat before new product launches in 2012.

Technical Acceptance comes after internal testing by the manufacturer of an OS software build. The manufacturer sends its internally-tested product to the carrier for further testing. The carrier may then accept or rejects it; if rejected, a revamped OS could take weeks to modify and approve. This is what may be delaying the tablet PC releases for RIM.

However, by forcing carriers to push product through the Technical Acceptance phase, bugs and problems may surface on the device, causing innumerable customer headaches.

BGR notes that this isn't a new phenomenon, which is why some devices will be launched on one carrier earlier than others (barring any contractual agreements).

RIM shares are trading lower, most likely from a Bernstein downgrade earlier in the session. The stock is down over 4 percent today.


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