Phillip Huang and Maynard Um, analysts at UBS believe that BlackBerry-maker Research In Motion could be acquired by enterprise telecom giant Cisco “at the right valuation.” Specialties in enterprise markets, video calling, and social networking are just a few of the places the two could potentially mesh well together. Such a hypothetical situation wouldn’t arrive in the near- or medium-term according to the analysts, but should RIM shares fall low enough and the opportunity presented itself, Cisco has the assets and flexibility to pull off a takeover.
Let’s take a look at Cisco’s Cius Android tablet for a second: Wi-Fi b/g/n, 3G and 4G data, Bluetooth 3.0, 7″ 1024 x 600 display, 5 megapixel camera on the back, plus front-facing camera, both HD capable. Sound a little like the BlackBerry PlayBook? The market for enterprise-grade tablets is still really small, and I’d wager that the PlayBook and Cius capture the majority of the potential there. Aside from devices, I suspect that many of Cisco’s products could find tie-ins with both how RIM handles their own data centres, as well as the server software RIM provides their customers.
Cisco’s CEO John Chambers had some interesting comments on the subject of smartphones and their position in that market back in December:
“We love the way that Apple, RIM, and Microsoft, are loading the networks and want to interop within that. But when we enter markets, we enter to be number one or number two. With our target market of 40 per cent that’s really not an option.”
Well, ponying up a tonne of money for Research In Motion would certainly be the quick way of doing that, wouldn’t it? It might not happen now, or tomorrow, but you have to admit that someday RIM and Cisco could be a cute, if dorky, couple.
[via Financial Post]