$RIMM . One more headache and its from Android.

$RIMM has a nasty downtime on their BlackBerry service in Europe. This does not come at a good time.

For a company that place so much emphasis on its secure services, any downtime of such nature is not acceptable.

And if iOS and its secure iMessage is still not a strong enough threat, RIMM has a new competitor (in the form of Android).

Fast Company just reported that the Germans have a new project focused on making Android’s security the key focused. It comes with plans to work with corporate IT teams and partners to install, update or delete smartphone apps without going through app stores.

In a nutshell, a lot of what it attempts to do will marginalise RIMM further. The competitive moat that RIMM has for BlackBerry is being eroded at a much faster pace.

Remember MS Windows and the story of Linux? That is a huge market share that MSFT fail to hold on to.

The combination of iOS and Android is repeating history again. They are going to increase market reach, capture new markets all at the expense of RIMM.

Note:

Vested with a bearish bias.

Research In Motion ($RIMM) : Shipped is not equal sales

This post will not contain any chart reading. Rather, I am just going to raise one key point about RIMM.

There’s an open letter that has been going round the Internet. In it, the letter shed some insights, missteps and frustrations from within RIMM.

RIMM has a response to the open letter.

RIMM’s statement is fair; highlighting its zero debt, cash that the have etc.

However, I just want to remind RIMM about one point that they highlighted.

In fact, while growth has slowed in the US, RIM still shipped 13.2 million BlackBerry smartphones last quarter

RIMM continues to reinforce the strength of their balance sheet and amount of devices shipped.

Well, we have seen this in Nokia as well. And where did Nokia goes? Definitely still around. But, the share price is nothing to be proud of.

I tried Nokia’s E7 which is a fairly new phone and runs on the Symbian platform. As a smartphone, there’s nothing to shout about. In fact, it exposes the very key reason why consumers and developers are jumping to another platform.

Back to RIMM. What lessons can we learn from the above?

For a start, what we see in Nokia can definitely be applied to RIMM. In Nokia’s cace, I am getting the E7 for free. Somewhere, someone is trying to make sure the inventories do not get stuck in the channels. Just a few months back, this same phone would have required me to fork out a few hundred dollars.

On top of this, we also have Palm as a case study. Palm too has shipment figures. But, that does not translate to sales.

While RIMM is still able to milk the entreprises on the BES licensing fees. This is not a strong proposition. It is a great cashflow but the growth may not be there anymore.

Look at iPad. Intercontinental Exchange Ltd (ICE) has already developed apps for it. That means financial institutes are going to encourage their traders to start using the platform. And this is just one case. I am sure there are others that have not been highlighted.

RIMM, NOK, GRMN belongs to the same group. They need to know that It is not the wins but the losses that shows your weakness.

Note:

I have PUT options on RIMM and have intention to establish new positions if the chart suggest so.

ARM Holding ($ARMH): Kumo Support. Base Forming

ARM Holding ($ARMH) is one of the stocks that is riding on top of the smartphones and tablets wave.

We can see from the Ichimoku chart how the $ARMH has rallied from $13 to around $30 in less than a year.

With the general market moving down, $ARMH did not move down a lot and seems to be consolidating at around $28, which is where the kumo support is.

I believe, the current price level, provides a good entry given the price consolidation. A stop lost near this level will reduce possible risk.

Given the continuous growth for smartphones and tablets for the next few years, $ARMH seems to be well positioned for more growth.