US Government Purchase of BlackBerry Devices on the Rise

Most of the news about RIM this past year has been about consumers and government agencies leaving BlackBerry for other devices.  In an interview Scot Totzke vice president of BlackBerry security said that RIM government market share is probably increasing. Totzke had this to say:

Compared to the enterprise over the last year and a half or so, the federal business on whole is up,” said Totzke, who also runs RIM’s U.S. government sales business. “The employee base is shrinking, so if we’re looking at a market with fewer employees and our install base is stable to slightly up, that would seem to indicate that we have an increasing market share.”

The president of the U.S when he took office fought to keep his BlackBerry, and who can blame him, it is a device that gets things done. There is no word what device he is using these days, hopefully a new 9900 since the one he had when he took office is probably pretty sluggish by now.

RIM is in the process of implementing a new strategy, by launching BB10 devices, and Mobile Fusion that is promising it just all depends on execution. The enterprise market is one market segment RIM cannot afford to lose, and that seems to line up with RIM announcement to change the strategy to focus more on that segment during the last earning call.

Another reason for the rise in sales has to do with the fact that not all agencies upgrade their devices each time a new BlackBerry comes out, some may still be using OS 5 devices if not older. Totzke said that: “About 40 percent of RIM’s government customers upgraded to new devices in the past 12 months, he said” which is a pretty good.

Via: Bloomberg

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  1. The President knows best!

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