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RIM reveals unshipped PlayBooks result in a $485 million charge

But still committed to the device

RIM reveals unshipped PlayBooks result in a $485 million charge
Research In Motion's BlackBerry PlayBook has had a rough time of it recently.

Not only has it had to dampen rumours of its tablet's possible discontinuation, and sales have been steadily falling since its initial 500,000 opening quarter.

In a pre-third quarter financial update report, RIM has revealed more woes for the reeling tablet, by announcing that unsold units have amounted to a "pre-tax provision" of $485 million, or $360 million after tax.

Also ran?

Sales of the PlayBook had dropped to 250,000 during its second quarter, while third quarter of availability has seen sales lower even further to 150,000.

In a market dominated by Apple's iPads, the PlayBook has failed to find traction.

However, a lowering of price points for the device - as low as $199 - has apparently spurred sales, according to RIM, who remains committed to the device.

Commitment

"RIM is committed to the BlackBerry PlayBook and believes the tablet market is still in its infancy," said Mike Lazaridis, co-CEO at RIM.

"Although a number of factors have led to the need for an inventory provision in the third quarter, we believe the PlayBook, which will be further enhanced with the upcoming PlayBook OS 2.0 software, is a compelling tablet for consumers that also offers unique security and manageability features for the enterprise.

"Early results from recent PlayBook promotions indicate a significant increase in demand across most channels.

"We look forward to continuing to grow the installed base of PlayBook users and to attracting more and more developers to expand the volume of applications, content and services that leverage the power of the industry leading QNX-based platform."

[source: RIM]

When Matt was 7 years old he didn't write to Santa like the other little boys and girls. He wrote to Mario. When the rotund plumber replied, Matt's dedication to a life of gaming was established. Like an otaku David Carradine, he wandered the planet until becoming a writer at Pocket Gamer.