Tag - Barclays Capital
Barclays Capital analyst Jeff Kvaal on Tuesday cut his share price target for RIM by almost half from $40 to $23 after casting doubt on promises that its first phone based on BBX would ship around early 2012. He believed that the hardware had been quietly delayed based on the typical carrier certification process. As it usually takes half a year to get a phone fully approved, any phone would ship in late winter at best and more likely sometime in mid-year, Kvaal said.
Palm may prove to be Verizon's best hope if the Droid line doesn't bear fruit, Kaufman Bros analyst Shaw Wu said in a note today. He points to contacts within the cell industry and supply chain that suggest Verizon will carry one or more of Palm's webOS phones, such as the Pre or Pixi, sometime in 2010. Sales of both the Motorola Droid and HTC's Droid Eris have purportedly been "somewhat disappointing" and may lead to Verizon using Palm to bolster its smartphone catalog.