BlackBerry manufacturer Research In Motion has warned that it may have to make significant job cuts to tackle falling profits.
The firm has told investors that it is likely to have made a loss during the previous quarter – not least because of the popularity of smartphone devices from Apple and those based on Google's Android operating system.
Unfortunately for RIM, its shares took a battering after the announcement – losing ten per cent in value.
The company's chief executive officer Thorsten Heins said: "The ongoing competitive environment is impacting our business in the form of lower volumes and highly competitive pricing dynamics."
He added that the problems are likely to remain throughout 2012, which could result in less people trading in their old mobile phones for a new BlackBerry and instead opting for one of the company's rival devices – such as the iPhone.
Earlier this month RIM released the BlackBerry Curve 9320, which it was hoped would improve the company's fortunes.
Posted by Peter Robinson