PlayBook will need BlackBerry tethering, to start

24.03.2011

The PlayBook may not be garnering the same kind of excitement as some consumer-oriented tablets, but it's likely to suit some of the enterprises that have long relied on the BlackBerry, said analyst Jack Gold of J. Gold Associates. Many enterprise IT departments are concerned about security and manageability of the iPad and Android tablets, he said.

If only 10 percent of RIM's installed base buys the PlayBook, that will still represent millions of devices, though nothing in the realm of the iPad.

"That's a great base to start from," Gold said. "I'm not writing them off yet."

Separately on Thursday, RIM reported fourth-quarter revenue of US$5.6 billion, up 36 percent from the $4.1 billion reported for the same quarter last year. However, the company's revenue guidance for the first quarter of its fiscal year, which ends in May, disappointed Wall Street investors, with RIM's share price down nearly 10 percent in after-hours trading. The company said it expects revenue between $5.2 billion and $5.6 billion, or $1.47 to $1.55 per share for the quarter.

Analysts had expected revenue of $5.67 billion for the current quarter and earnings of $1.65.