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Touch-Screen BlackBerry Storm Coming This Fall

Posted on: Wednesday, 8 October 2008, 14:20 CDT

Research in Motion Ltd. announced Wednesday that it is moving to take on Apple Inc. with a new touch-screen model of their popular BlackBerry phone.

The new Blackberry Storm, which will be available later this fall, represents the first time RIM is abandoning its traditional keypad in favor of a larger screen similar to that used on Apple's iPhone.

The Waterloo, Ontario-based company said the new smartphone would be available exclusively to Verizon Wireless subscribers in the U.S. and Vodafone subscribers in Europe, India, Australia and New Zealand. It’s an unusual twist that the Storm will work with both Verizon Wireless' network and with Vodafone's, since the two use incompatible network technologies.

In developing the Storm, RIM listened to feedback from users of Apple’s iPhone, who found its glass screen awkward to type on because its virtual buttons provide little perceptible feedback. As a result, the Storm incorporates a whole screen backed by springs that, when pressed, provide users with a soft click when released, RIM said. 

Aimed at the retail market, the Storm also includes a 3.2 megapixel camera, software for e-mail and document management and a media player for movies, music and photos.

RIM’s announcement did not surprise analysts and technology enthusiasts, who had speculated all year that the company would soon launch such a device. 

"This clickable interface is like an engineering marvel," RIM co-CEO Jim Balsillie told Reuters.

"It is revolutionary."

Analysts say that RIM will see increased competition from rival handset makers as it moves beyond its traditional market of executives and other professionals and pushes into the wider consumer market.

However, backed by its subscriber growth, RIM dismisses such concerns. Indeed, Wednesday’s announcement comes shortly after the company announced a flip-phone version of its BlackBerry to pursue more of the retail market.

Although RIM did not disclose details on the Storm’s pricing during its announcement, the higher cost of launching its next-generation devices is pressuring RIM's gross margins.  However, to continue growing its subscriber base the company has to price its devices enticingly, something that has limited RIM’s ability to pass along the higher costs of developing the devices to its customers.

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On the Net:

• Blackberry Storm

Source: redOrbit Staff & Wire Reports

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