Amazon considered acquiring RIM over the summer

first_imgRIM has had a year its management team would probably like to forget. The PlayBook has been a disaster, BlackBerry phones may be surviving in the business sector, but consumers prefer iPhone and Android devices, and to cap it all off the company’s value has tumbled.So it may surprise you to hear that before Amazon launched the Kindle Fire tablet the company was considering acquiring RIM. They even went so far as to hire an investment bank to see if a such a buy would both be possible and wise.However, it apparently didn’t matter how interested Amazon was, or how much they were willing to pay, RIM was not up for sale. Quoting multiple sources, Reuters states RIM’s management wanted to stay independent and focus on restructuring the company and releasing new BlackBerry phones.RIM’s value has dropped 77% this year to around $6.8 billion. Although a sale of the company could potentially mean a spend of $10 billion. Even so, the thinking inside RIM is that a sale isn’t an option until the company is back on its feet offering new products and increasing its value once more.Read more at ReutersMatthew’s OpinionIt’s easy to see why Amazon considered buying RIM. Amazon dominates consumer online sales and the consumer market in general. To expand yet further it needs to cater to business customers, which is something it already does through the AWS service to some extent. However, acquiring RIM would automatically give it access to a large and well-established business customer base.With RIM under its wing we could have seen the Kindle phone arriving next year and a re-badged PlayBook aimed specifically at the business market.Amazon is no fool, and seeing RIM doing so badly this year surely must have triggered them to look into a potential cheap buy. And you have to wonder why RIM didn’t consider it further. The two companies together would be a powerhouse in both the consumer and business markets.That’s not to say this will never happen, and if RIM doesn’t turn things around soon Amazon could bag itself a real bargain next year.last_img read more