RIM cutting 2,000 jobs
Research In Motion plans to cut about 11 percent of its workforce as it struggles to keep pace with Apple and Google in the mobile market it once dominated. The Canadian company's shares sunk 3 percent after the announcement of 2,000 job cuts; a month after RIM said would reduce headcount for the first time in almost a decade. The company, which described the cost reduction as "a prudent and necessary step" for its long-term success, said it would inform employees who will lose their jobs this week. The job cuts, which were slightly deeper than some had expected, raised questions about whether lower costs alone would go very far in addressing RIM's lackluster financial performance or the steady erosion of its market share.
RIM also announced changes among its top executives. It said one of its three chief operating officers, Don Morrison, would retire and the other two, Thorsten Heins and Jim Rowan, would take on additional responsibilities.
RIM's shares - halved so far this year - have been weighed down by earnings that missed the company's own limp forecasts and a dire warning that sales will slip further because of delays in getting new smartphones to market.
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