This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Don't Count RIM Out

Stocks in this article: RIMM AAPL GOOG MSFT HPQ

NEW YORK ( TheStreet) -- We are only a few games out of the spring season training and already some are calling who is going to win the world series of smartphones. Stories abound how Research In Motion (RIMM) should all but be written off by users and investors alike.

Some pundits have already declared Apple (APPL) the winner, with possibly Google (GOOG) becoming a spoiler if only to keep things entertaining. Even Microsoft (MSFT), arguably the most powerful software company in the world has been declared by some to be unfit to take the field.

Granted, it's doubtful that a "Wild Thing" sporting black rimmed glasses hitter is going to put RIM back in the No. 1 spot in North America this season or next. However, if we have learned anything about the smartphones space, we have learned the ground shifts quickly.

A short three years ago, Palm (PALM) produced the PRE and for a while the PRE was the darling of smartphones. Almost as quickly as the PRE hit the market, Palm became nothing more than a new headache for its acquirer Hewlett-Packard (HPQ - Get Report). Unfortunately for HP, the best product to come from the Palm purchase was the HP TouchPad. To say the HP TouchPad with webOS struck out would be kind.

Before the PRE, HP had a winning smartphone. The quad-band GSM/GPRS HP iPaq was advanced and popular. The iPaq had it all, Internet, big screen, Wi-Fi, Bluetooth, Pocket PC OS by Microsoft, and built-in camera. Currently, HP is little more than a case study in allowing market share to slip away.

Sprint (S), AT&T (T), and Verizon (VZ) may have had to sell their collective souls to put iPhones on the showroom floor, and each may have made the right choice at the time of signing, but it remains to be seen if the indentured servitude each cell phone carrier owes to Apple will be enough to keep RIM from a comeback. Sprint was the last carrier to sign what must have felt like a 30-year mortgage with Apple, but the strategy does appear to be paying off. One could argue Apple's dominance, along with volume commitments by the largest three carriers, guarantees RIM will perpetually face an uphill battle.

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,164.95 -251.90 -1.45%
S&P 500 1,994.99 -26.26 -1.30%
NASDAQ 4,635.24 -48.1670 -1.03%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs