Microsoft Needs To Buy RIM Now

There’s been a lot of buzz this morning about a possible link-up between Nokia and Microsoft, a combination that Om Malik likens to a “desperate hookup.” I agree completely. It’s clear that Microsoft has blown any reasonable chance it had of gaining significant market share in smartphones. An agreement with Nokia won’t change that, and it won’t help Nokia, either. There is simply no room for another significant player in the smartphone space beyond Apple, Google (Android) and RIM. That’s why, instead of pouring more money into Windows Phone, Microsoft should just buy RIM. RIM’s Blackberry is so closely linked to the enterprise, and so integrated with Microsoft’s Exchange, that it is already the default Microsoft phone, anyway. By buying RIM, Microsoft could leverage that integration, and reinforce their grip on the enterprise space which is already under assault by Google. However much it costs to buy RIM, it’s still better than pouring billions down the rathole that is Windows Phone.

UPDATE: Microsoft has revealed the sales figures for Windows Phone 7 so far. They just emphasize that Windows Phone 7 is toast!

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