RIM`s New BlackBerry Bold Aims at Business Users

TORONTO (Reuters)- Research In Motion Ltd is launching a new high-end version of theBlackBerry aimed at its core base of business users, but it hopes thesleek new smartphone will also catch on with the broader retail market.

Shares of RIM jumped on Monday, climbing C$8.76, or 6.6 percent, toC$142.11 on the Toronto Stock Exchange. On Nasdaq, the stock was up$8.84, or 6.7 percent, at $141.61.

The BlackBerry Bold, as the new smartphone is called, is the firstBlackBerry to support high-speed HSDPA cellular networks and comes withintegrated GPS, Wi-Fi and a host of multimedia features.

"It’s really a step up in function in many core aspects of the system," RIM Co-CEO Jim Balsillie said in an interview.

The smartphone rolls out globally this summer and will cost between$300 and $400, he said. AT&T will be its lead carrier in the UnitedStates.

Citi Investment Research analyst Jim Suva wrote in a note to clientsthat the timing of the launch of the third-generation smartphone wasahead of his expectations. Third generation, or 3G, essentially refersto advanced and high-speed wireless services.

"We had expected a 3G device later this year," he wrote. "Weestimate the Bold could increase RIM’s quarterly shipments by 200,000to 400,000."

While Waterloo, Ontario-based RIM hopes the Bold will enticecorporate users to upgrade the handsets they currently use, Balsilliesaid he "wouldn’t be surprised if it gets picked up by the consumer."

The device will be a test of whether the shaky U.S. economy ismaking corporations less willing to spend on new wireless hardware.Some analysts have expressed concern that companies will delay upgradesor cut back on spending on items such as the BlackBerry.

RIM helped dispel such worries last month when it delivered a higher fourth-quarter profit and a robust outlook.

UBS analyst Jeffrey Fan wrote in a note to clients he expects the company to launch between three or four new devices this year.

"We believe RIM’s broadening portfolio should widen its appeal to the mass market," he wrote.

The Bold features the most vivid display ever on a BlackBerry, a2-megapixel camera with video recording capability, and a media playerfor watching movies and managing music collections.

This isn’t the first time a BlackBerry has been loaded withmultimedia features to catch the eye of the retail customer. RIM hasactively worked at diversifying its client base away from theexecutives, lawyers and other professionals who use the BlackBerry forsending secure wireless e-mail.

More than a third of RIM’s 14 million subscribers are now classified as nongovernment and noncorporate.

The company has also rolled out customer-oriented applications suchas Facebook software specifically designed for the BlackBerry. Lastmonth, RIM said downloads of the application had topped the 1 millionmark.

And in a separate announcement on Monday, RIM and Microsoft saidthey will provide Microsoft Windows Live services such as instantmessaging and e-mail on the BlackBerry.

Its pursuit of consumers has put RIM in increasingly directcompetition with devices such as Apple’s iPhone, which target the broadretail market.

Still, Balsillie said the Bold is aimed first and foremost at the business, or enterprise, audience.

"It’s pretty fair to say that the Bold does quite a job forcementing our leadership in the (enterprise) side," he said. "Weunderstand our roots and we understand the priority there."

RIM also announced that, along with Royal Bank of Canada and ThomsonReuters, it will launch a $150 million venture capital fund that willinvest in applications and services for the BlackBerry and other mobileplatforms.

($1=$1.00 Canadian)

(Reporting by Wojtek Dabrowski; editing by Peter Galloway)