Several news reports pertaining to the possible release date of the BlackBerry Z10 on AT&T have now been mentioned the release date for the device. If sources are correct, BlackBerry’s most coveted phone could make or break the fortunes of the Canada based company given that the launch of the Z10 is expected to take place just days after the unveiling of the Samsung Galaxy S IV.
This is clearly not what officials at RIM would have liked because any phone that releases alongside the likes of the Galaxy S IV would not get the news attention that it actually deserves. This not only puts RIM in a tight spot, but may also potentially rob the Z10 of any chance of making a decent start in the North American market (and indeed anywhere else in the world).
This situation highlights the problems of being in a market dominated by big players. This hampers competition to a great extent and may even suppress innovation from smaller companies. The Z10 and the Q10 (yet to be released) are important pillars that could shape RIM’s history in the near future and if this foundation is undone by an ill-timed launch, it could spell doom for a company already in dire financial straits.
With RIM’s market share in the United States slipping below that of Windows Phone (which is barely 3% to begin with), the company is desperate for a blockbuster release. Unable to command a majority in any particular segment of the smartphone industry, a good launch is the minimum RIM needs to start afresh successfully. The rollout of the Z10 will commence on AT&T followed by T-Mobile at a later date.
Exclusivity contracts prevent manufacturers from releasing their devices on all networks at the same time. Many manufacturers also believe an exclusive launch will enable them to achieve higher sales due to concentrated advertising and promotional efforts by a particular carrier. However, exclusive launches can work both ways. If a manufacturer has enough clout with carriers, it can dictate the terms of the launch, which includes a favourable launch date. In Blackberry’s case, it has little clout with any of the major carriers in the US because of its extremely weak market position. Unable to arm-twist AT&T into releasing the Z10 further from the Galaxy S IV’s launch date, Blackberry now faces an uncertain future in the US market.