RIM’s BlackBerry App World store

analysis
Apr 15, 20092 mins

Apple's iPhone isn't the only smartphone with an application store

p:bigbite/multi-title –>

Recently e-mail heavyweight Research in Motion launched an application store for its BlackBerry line of smartphones. While RIM’s founders built their company’s success on e-mail as the ultimate killer app, to get to the next stage of growth they’re now making it easier for mere mortals to add new applications on their handsets. There are innovative companies like PolarMobile, for example, that have brought media like Hockey News and TheStreet.com onto RIM devices, but RIM has never had the kind of breadth of applications as the iPhone.

So now with its App World store, RIM hopes to make it easier for developers and consumers to get applications on their BlackBerry. RIM may not have the iPhone’s breadth of applications, but there is still plenty to chose from.  And besides, how many iBeer clones does a business user really need?

[ RIM is still targeting businesses with its signature BlackBerry smartphone. | Find out who else is competing with BlackBerry App World. ]

Rather than focus on quantity, RIM is aiming for quality.  RIM is aiming to attract a more business-oriented audience with a $2.99 minimum price for commercial applications.  (As with the iPhone, there are also many free applications.) To RIM’s credit, developers get 80 percent of the sale price, taking only 20 percent off the top, compared to Apple’s 30 percent reseller margin.

It’s a good bet on RIM’s part.  And I have no doubt RIM will continue to do well with its devices and expand their reach with third-party applications.  But I’m not sure that competing with Apple on its own turf is the right way to stand out in the market.