BlackBerry Service Outage Could Cost Rim More Than $100 Million

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BlackBerry services have had outages before, but none has been worse than the recent one. The most recent loss of access to BlackBerry’s suite of services that include email and BlackBerry Messenger (loss of this, perhaps, hurt more than losing the other features) is the worst one in company history.

RIM has been known to refunding its customers in times of outages in the past, and analysts expect the Canadian company to do so again this time. Except while the amount it has had to pay before is hardly worth mentioning, it now has to pay around the vicinity of a $100 million. That’s $117.7 million to be exact, according to analyst Gus Papageorgiou of Scotia Capital. In spite of this hefty amount of loss, he still advises investors not to do anything drastic, and wait it out first.

He says,

We believe the company will have the situation under control before the weekend and that, as a result, it should not sustain any serious long-term damage to its brand or service. However, we advise investors to hold off until the situation is resolved before taking any drastic action.

For the most part, RIM’s stocks are still holding steady, and no steep decline has been recorded.