Amazon purportedly looked into RIM purchase, RIM rejected
With RIM's stock now hitting a 52 week low, new information is suggesting that RIM may have cut short buyout talks that were happening earlier this summer. The ones to come knocking, and showing interest? Amazon. As reported by Reuters, Amazon allegedly hired an investment bank to get the negotiations started, but how far along they got during those discussions remains a mystery. The talks were called off by RIM CoCEOS, Jim Balsillie and Mike Lazaridis, who seem more open to licensing out QNX and BlackBerry services than selling to any one company. One source for Reuters noted:
”Selling the company or an economic joint venture is probably not in the cards right now,”
One shining piece of information to come out of this news is that while others seem to be showing interest in a RIM purchase, the RIM board of directors would rather have the company complete the transition they started by ensuring the release of new BlackBerry 10 smartphones, better use of assets such as BlackBerry Messaging, and restructuring. These were all things were mentioned on the last RIM earnings call, that in retreospect -- seems to match up with the information, but more importantly, shows the board still has faith in the company and that they will see this time of doom and gloom pass.
While both RIM and Amazon have thus far declined to comment on the information, it was also noted that the two companies are continuing talks regarding how they may better help each other. With Amazon being a content provider of digital media such as movies, TV shows and music -- there is ample room there to work together. Such a partnership would not only be great for RIM, but Amazon as well, given the fact RIM currently has a fragmented ecosystem for such things.