Microsoft cooking up some BlackBerry pie?

Rumors are swelling about the possible buyout of Research In Motion, the …

Amid renewed rumors of an impending buyout by Microsoft, stock in Research In Motion (RIM), the company that produces the BlackBerry line of push e-mail devices, has surged up to an all-time high of $85. According to a story from Reuters, the two companies may be engaged in discussions that could see Microsoft grabbing up the Canadian-based company outright. "Microsoft has been mentioned as a possible buyer," Frederic Ruffy, an analyst at the investment education firm Optionetics, told Reuters. RIM's stock has been slowly climbing since May of this year when it was at around $45.

While both RIM and Microsoft declined to comment on the rumors, speculation continues to run high about exactly what Microsoft might be interested in. This isn't the first time investors have imagined a Microsoft-RIM marriage, but this time the environment is a little different.

Some analysts are saying that the move is in response to Google's announcement that it is developing a mobile phone running a Linux-based operating system. Others point to the success of the iPhone (and the interest, if not yet the actual software, in integrating it into business environments). These two players may make the smartphone industry much more competitive.

Currently, smartphones based on Microsoft's Windows Mobile operating system already have great Exchange support, but how much more of a compelling business case could be made for them if they also worked as BlackBerrys? RIM has already announced that it have been working with Microsoft on delivering BlackBerry software for Windows Mobile 6 devices. Perhaps the buyout rumors are merely the next logical step for this collaboration. Microsoft can also benefit from BlackBerry's strong security. Most IT shops know that Windows Mobile phones are hard to lock down, as most are only a .cab file away from being "open" to end users who will install who-knows-what on their phones. With BlackBerry under its belt, Microsoft could leverage the best of both.

RIM's devices, affectionately known by their biggest fans as "CrackBerrys," have been successful in the business market, especially for busy executives and information workers who absolutely have to have instant access to their e-mail all the time. However, the company has recently been adding new multimedia features, opening up new BlackBerry APIs to application developers, and even adding touches like GPS and WiFi support to their devices.

As BlackBerrys become more general-purpose devices, they will inevitably run into more competition with Microsoft's "desktop on a phone" vision for Windows Mobile. While personal digital assistants may be dying on the vine, the market for smartphones is only expected to rise, and major corporate buyouts are part and parcel of such an environment.