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RIM acquires mobile-cloud software firm--report

BlackBerry maker Research in Motion has acquired software firm NewBay in a $100 million deal, according to an Irish Times report.

BlackBerry maker Research in Motion has acquired software firm NewBay in a $100 million deal, according to an Irish Times report.

AllThingsD's John Paczkowski separately confirmed the deal.

Founded in 2002, NewBay specializes in the development of mobile-phone software that allows users to create, store, and share digital content in the cloud. The company had deals with Verizon, AT&T, T-Mobile USA (and parent Deutsche Telekom), U.S. Cellular, Telefónica O2, France Telecom Orange, and Telstra.

More details from the Times report:

  • NewBay employees were notified yesterday. The company has offices in the U.S., the U.K., Ireland, Germany, Australia, and South Korea.
  • NewBay's software development center will remain in Dublin. About 200 people are employed there.
  • The company's flagship LifeCache software is used by 80 million subscribers worldwide.

NewBay recently struck a deal with LG to have LifeCache preinstalled on its devices; it's unclear where that deal stands with the acquisition.

NewBay had revenues of about $24.3 million in 2009; it ended that year with a net loss of about $3.6 million.

The question is whether RIM has the resources to execute on its ideas. Rival tech companies already have similar services--primarily Apple with iCloud and Google with Apps, though Amazon has Cloud Drive--and there is plenty enough house to return to order for RIM.

Read more of "RIM acquires mobile-cloud software firm" at ZDNet's Between the Lines.