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First flip-phone BlackBerry launched

By Reuters

Posted on 10 Sep 2008 at 07:39

Research In Motion is launching a flip version of its popular BlackBerry Pearl smartphone, a move that reasserts its push into the consumer market.

Like RIM's original Pearl model, the first-ever flip BlackBerry comes loaded with multimedia features such as a video and music player and a 2-megapixel camera with flash, as well as a web browser and an abridged keyboard.

"Seventy percent of the mobile phone users in the United States use a flip," claims RIM co-CEO Jim Balsillie. "There's never been a smartphone or a BlackBerry option for that."

He added the new device is "extremely important" for capturing more retail users.

The new clamshell flip BlackBerry will be available around the world starting this autumn. No pricing details were immediately available.

The first, candy-bar-shaped version of the Pearl was launched in September 2006 to rave reviews and strong sales. Its success was a key factor behind the company's ability to deliver strong results throughout the rest of that year and in 2007.

The Pearl also allowed RIM to broaden its market beyond its mainstay of executives, lawyers, politicians and other professionals who use the BlackBerry to send work e-mail securely.

RIM has more than 16 million subscribers. It says that "non-enterprise" customers - the company's term for small and medium businesses and consumers - now represent more than 40% of that total.

The drive for retail consumers has put the company in more direct competition with hardware makers such as Apple and its iPhone, as well as Motorola and Nokia. Balsillie has repeatedly dismissed competitive concerns and they have yet to translate into lower sales.

Despite that, RIM's shares have lost a third of their value since setting a year high of $148.13 on the Nasdaq in June. On Tuesday, they closed at $99.30 amid macroeconomic concerns and broad stock market declines.

Asked whether the market should expect RIM to launch additional BlackBerry models before the end of the calendar year, Balsillie replied: "We're far from done."

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