NEW YORK — Faced with tough competition and falling profits, BlackBerry maker Research in Motion is cutting 2,000 jobs as part of a cost-savings plan announced last month and is shuffling some senior executives.
The job cuts equal about 10 percent of the company’s workforce. RIM said Monday it will notify affected employees this week. It expects to give more information on the layoffs when it reports fiscal second-quarter results Sept. 15.
Its U.S. shares fell $1.24, or 4.4 percent, to $26.67. The shares are close to their five-year low of $25.60, hit Wednesday.
Although BlackBerrys have dominated the corporate smartphone market, their popularity in the consumer market has been short-lived.
Last week, Apple reported selling 20.3 million iPhones in the April-to-June period, a record number. RIM sold 13.2 million BlackBerrys in the March-to-May period.
Also Monday, RIM named two executives to take on different parts of the chief-operating-officer role vacated by Don Morrison, who went on medical leave in June and is retiring. Thorsten Heins becomes COO for product and sales, and Jim Rowan is COO for operations. The Associated Press
