Verizon Pushing BlackBerry With Buy One, Get One Free Sale (RIMM, VZ)


Verizon’s mid-winter recession-buster: A buy one, get one free sale on several BlackBerry phones, including the touchscreen Storm. What does it mean for RIM?

  • It could boost RIM’s subscriber numbers for Q4, which ends this month. Remember that RIM makes a good amount of its revenue from service subscriptions — not just device sales. And investors look at subscriber growth as one of RIM’s most important metrics.
  • It could hurt RIM’s margins, depending on how much of the promotion it’s paying for.

But now’s probably not a bad time for RIM (RIMM) and Verizon (VZ) to push the BlackBerry — next quarter, the smartphone market could be significantly different, including Palm’s (PALM) new Pre phone and whatever iPhone updates Apple (AAPL) has up its sleeve.

See Also:
BlackBerry Storm More Expensive To Build Than iPhone 3G
RIM’s New BlackBerry Curve 8900: ‘Mostly Good’
Memo To RIM, Windows Mobile: Palm Just Kicked Your Butt