SAN FRANCISCO - Tech stocks were down modestly Friday, but off their lows of the session, as a weak forecast from BlackBerry maker Research in Motion (RIMM) dragged the sector lower.
was recently off 20 points, or 0.9%, to 2166.
RIM said late Thursday that it expected a third-quarter profit
below analysts' expectations due to the rising costs of new product launches. The company also said gross margins would fall to about 47% in the third quarter, and would likely remain in the mid-40% range through next year.
RIM shares were off $25.95, or 26.6%, to $71.58.
The news also hit shares of
, which was off 28 cents, or 3.6%, to $7.59 and
, which fell 81 cents, or 4%, to $19.41.
were also off, hitting a 52-week low, due to the RIM news. A Friedman Billings analyst said RIM's Bold and other new product launches were being delayed to the fourth quarter, which pushes out Marvell's 3G chip shipments. RIM also mentioned diversifiying component suppliers, drivingl lower chip prices and raising concerns of a market share loss for Marvell, said the analyst.
Shares of Marvell were off 96 cents, or 9%, to $9.80.
The RIM news also hit shares of iPhone maker
, which were down $5.67, or 4.3%, to $126.26. After rebounding in early August, the stock is off nearly 30%.
rose Friday after the company beat fourth-quarter profit estimates and projected a fiscal 2009 earnings estimate within current expectations. The stock was recently up $2.11, or 5.7%, to $39.28.
This article was written by a staff member of TheStreet.com.