RIM Stock Drops On Rumor About The Death Of The Playbook

RIM had a really rough day today. A rumor that they were going to exit the tablet market caused their stock to nosedive:

Shares in BlackBerry maker Research In Motion slumped Thursday, despite the firm’s denial of a report that it had halted production of its PlayBook tablet computer and cancelled additional tablet projects.

“Any suggestion that the BlackBerry PlayBook is being discontinued is pure fiction,” RIM spokesperson Marisa Conway told CBC News.

“RIM remains highly committed to the tablet market.”

RIM shares closed down 70 cents, or 3.1 per cent, at $21.97 on the Toronto Stock Exchange.

I suspect that this is something that won’t go away anytime soon. After all, when the sales of your tablet underwhelm expectations, people are going to look for an exit strategy. The only way this is going to go away is for RIM to prove that their tablet can play with the iPad. Quite frankly, I don’t think it ever will and they might be better off trying to get their smart phone house in order.

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