RIM's Tank; Pandora's Sell Rating

NEW YORK (TheStreet) -- Research In Motion(RIMM) shares dropped more than 16% in pre-market trading on Friday, a day after it cut its full year outlook and announced plans to reduce headcount.

The Canadian handset company has failed to keep up with rivals Apple(AAPL) and Google(GOOG) after delays to its touchscreen BlackBerry and tepid reviews for its PlayBook tablet.

Internet music service company Pandora(P) saw its shares fall 1.1% to $13.11 in pre-market trading after BTIG analyst Rich Greenfield slapped it with a sell rating and initiated coverage with a $5.50 price target.

Shares of Pandora have fallen 35% since their IPO debut on Wednesday. Pandora's dismal performance sharply contrasts with other recent Internet IPOs like LinkedIn(LNKD) and Yandex(YNDX), which experienced similar dramatic gains in their debuts but have held up fairly well since then.

Facebook is readying an iPad app more than a year after the popular Apple device was released, according to the New York Times. The new app could provide growth for Facebook, which said more than 250 million users access the site on mobile devices. Facebook has close to 700 million users worldwide.

Online shopping start-up Shopobot announced on Thursday it has raised seed funding from the venture arms of both Google and AOL(AOL). The company allows shoppers to track price adjustments for gadgets and other items across the Web, providing consumers with the best time in which to make a purchase.

The mobile shopping industry is expected to grow dramatically within the next few years, according to a new report from research firm Forrester. The sector is anticipated to reach $31 billion by 2016, up from $3 billion last year. Factors holding shoppers back from mobile commerce include concerns about security and sluggishness among mobile sites.

--Written by Olivia Oran in New York.

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