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Apple-IBM Deal Equals Bad News For Microsoft, Potential Deathblow For BlackBerry

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Apple-IBM Deal Equals Bad News For Microsoft, Potential Deathblow For BlackBerry


News

Michael Grothaus

13:38, 16 Jul 2014

Apple-IBM deal will see iPhones and iPads break new ground in enterprise, and this is very bad news for Microsoft, Google and BlackBerry

Last night Apple made what was probably one of its most unexpected announcements when it revealed that it is forming a new partnership with IBM to radically alter the way it serves enterprise customers. Part of the reason the announcement was so unexpected is because Apple, generally, doesn’t care all that much about enterprise (compared to consumer, anyway). And then of course there is the fact that Apple and IBM started out as bitter rivals more than 30 years ago.

Remember that 1984 ad? That was a scathing attack on IBM. So why have the two companies partnered now and what will it mean for their customers and competitors? Let’s take a look. 

Apple & IBM: The Deal

Apple CEO Tim Cook and IBM CEO Virginia Rometty made a rare joint appearance on America’s CNBC to announce the new venture. Under the terms of the deal the companies hope to “transform enterprise mobility” by providing “a new class of business apps” that take advantage of the power and simplicity of iOS and the big data and analytics capabilities of IBM.

In a press release the companies said their goal is to redefine the way we all get work done and they are doing this through four core initiatives:

  • A new class of more than 100 industry-specific enterprise solutions including native apps, developed exclusively from the ground up, for iPhone and iPad;
  • Unique IBM cloud services optimized for iOS, including device management, security, analytics and mobile integration;
  • New AppleCare service and support offering tailored to the needs of the enterprise;  and  
  • New packaged offerings from IBM for device activation, supply and management.

Apple & IBM: What It Means For Enterprise

From a consumer perspective it’s clear we’ve been in a Post-PC world for a while now. Our main devices are mobile: our smartphones and tablets. But on the enterprise level (“enterprise” is just a euphemism for “business”) that change from PC to Post-PC has taken longer and is a much more rigid transition. To be sure, enterprise is using smartphones and tablets like never before – it’s just that businesses can’t totally rely on them in they way consumers can to do virtually everything they require.

That’s because businesses often have hyper-focused needs in their apps, which need to be updated often to reflect new requirements. They also need to be rolled out across hundreds or thousands of devices, with both speed and security in mind. Doing all that on mobile has been tough and that’s exactly what Apple and IBM’s partnership is designed to make easier. 

The partnership will also ease the load on IT departments, which are often overwhelmed with work, and allow them to deploy new devices and software faster than ever before. 

Looking at the four core initiatives of their partnership – called IBM MobileFirst for iOS – the new deal will see 100,000 IBM employees dedicated to developing apps and consulting directly with enterprise partners to tailor those apps to their specific needs. 

Now sure, those enterprise customers could obviously make their own apps for iOS already, but the new partnerships between IBM and Apple will likely give apps made through the IBM MobileFirst for iOS program access to more advanced or currently-restricted APIs (Siri, Find My iPhone) that will enable enterprise customers to tailor apps to their hyper-specific needs.

How It’s Great For Apple and IBM 

Arguably this deal is better for Apple than IBM. Most of these large enterprise customers are already clients of IBM in some form. And while most of these enterprise customers do already use Apple devices, the partnership will give Apple an easier distribution channel entry into enterprise. 

This deal could give IBM a cool factor it can’t buy anywhere else

Apple’s current distribution channels (Apple Stores, Apple’s online store) are built and tailored around the consumer; IBM’s are tailored around enterprise. This deal will not only see IBM develop specific apps for enterprise clients, it will see the multi-billion dollar company sell iPhones and iPads with the industry-specific solutions directly to business clients worldwide. 

That’s an entirely new distribution channel Apple didn’t have a month ago. 

As for IBM, the main advantage of the deal is its exclusivity. Apple has stated its not going to turn around and do a similar deal with IBM’s competitors, like HP. That exclusivity means large enterprise customers will turn to IBM first if they need specific apps developed for their company and want to use iOS devices. The deal has the added benefit of perhaps shifting the way people see the 100-year-old company. 

Why It’s So Bad For Microsoft, Google, and Blackberry

But in the business world if one deal is so good for some, it’s usually very bad for others. And in this case the Apple/IBM deal could be seriously bad news for Microsoft and Google. Here though, it’s Microsoft that it’s primarily bad for. For the last several years Microsoft has really been pushing Windows Phone in enterprise. This made sense for the company and for enterprise customers because Microsoft’s Windows run on the majority of enterprise desktops and Windows Phone works seamlessly with it. Microsoft also has a lot more enterprise expertise than Apple.

But now that Apple has teamed up with IBM, the company with the most enterprise expertise in the world, it could see the brakes being applied to Windows Phone inroads into enterprise. As for Google and Blackberry, this initiative could severely hinder the former and obliterate the latter entirely. 

Industry analyst Tim Barjarin also agrees this move could create myriad problems from the likes of Google, Samsung and Microsoft. In a post on his excellent blog, TechPinions, Barjarin said, “This is not good news for the Android crowd. Google, and especially Samsung, had been on a course to try and get more Android devices into IT. However, this Apple/IBM deal will make that very, very difficult now and, if the deal works as designed, it could pretty much upstage any opportunity Android devices have in any future enterprise programs. 

“This will also have an impact on Microsoft’s quest to make Win 8 tablets and smartphones the de facto standard in IT. That would have been a tough thing to do even if Apple and IBM had not gotten together, but it will be even more difficult for them to gain a lot of ground with Windows 8 mobile devices in IT now.”

But It’s A LOT Worse For BlackBerry…

Blackberry became so big in the noughties because it had a well-oiled enterprise solution in its secure messaging platform and had staff that knew how to talk enterprise. But now that Apple has that staff through IBM, and iOS is already the most secure mobile operating system on the planet, this new partnership could be the final nail in the coffin for Blackberry. Why use their phones for enterprise when Apple and IBM can now offer a solution that is much better and much more scalable?

As for Google, the new partnership could see adoption of Android, already hindered in enterprise by its fragmentation and security issues, begin to stagnate. Apple and IBM’s solution is just more appealing, so why buy an Android device when you know an iOS one will “just work”?

News Michael Grothaus thirteen:38, sixteen Jul 2014

Apple-IBM deal will see iPhones and iPads break new floor in enterprise, and that is very dangerous information for Microsoft, Google and BlackBerry

Final night time Apple made what was in all probability one in every of its most sudden bulletins when it revealed that it's forming a brand new partnership with IBM to radically alter the best way it serves enterprise clients. A part of the rationale the announcement was so sudden is as a result of Apple, usually, doesn’t care all that a lot about enterprise (in comparison with shopper, anyway). After which in fact there's the truth that Apple and IBM began out as bitter rivals greater than 30 years in the past.

Keep in mind that 1984 advert? That was a scathing assault on IBM. So why have the 2 corporations partnered now and what is going to it imply for his or her clients and rivals? Let’s have a look. 

Apple & IBM: The Deal

Apple CEO Tim Prepare dinner and IBM CEO Virginia Rometty made a uncommon joint look on America’s CNBC to announce the brand new enterprise. Underneath the phrases of the deal the businesses hope to “rework enterprise mobility” by offering “a brand new class of enterprise apps” that reap the benefits of the facility and ease of iOS and the large knowledge and analytics capabilities of IBM.

In a press launch the businesses stated their aim is to redefine the best way all of us get work accomplished and they're doing this via 4 core initiatives:

  • A brand new class of greater than one hundred business-particular enterprise options together with native apps, developed solely from the bottom up, for iPhone and iPad;
  • Distinctive IBM cloud providers optimized for iOS, together with system administration, safety, analytics and cellular integration;
  • New AppleCare service and help providing tailor-made to the wants of the enterprise;  and  
  • New packaged choices from IBM for system activation, provide and administration.

Apple & IBM: What It Means For Enterprise

From a shopper perspective it’s clear we’ve been in a Submit-PC world for some time now. Our fundamental units are cellular: our smartphones and tablets. However on the enterprise degree (“enterprise” is only a euphemism for “enterprise”) that change from PC to Submit-PC has taken longer and is a way more inflexible transition. To make certain, enterprise is utilizing smartphones and tablets like by no means earlier than – it’s simply that companies can’t completely depend on them in they means shoppers can to do nearly every thing they require.

That’s as a result of companies typically have hyper-targeted wants of their apps, which have to be up to date typically to mirror new necessities. Additionally they must be rolled out throughout lots of or hundreds of units, with each velocity and safety in thoughts. Doing all that on cellular has been robust and that’s precisely what Apple and IBM’s partnership is designed to make simpler. 

The partnership may also ease the load on IT departments, which are sometimes overwhelmed with work, and permit them to deploy new units and software program quicker than ever earlier than. 

Wanting on the 4 core initiatives of their partnership – referred to as IBM MobileFirst for iOS – the brand new deal will see one hundred,000 IBM staff devoted to creating apps and consulting instantly with enterprise companions to tailor these apps to their particular wants. 

Now positive, these enterprise clients might clearly make their very own apps for iOS already, however the brand new partnerships between IBM and Apple will doubtless give apps made by means of the IBM MobileFirst for iOS program entry to extra superior or presently-restricted APIs (Siri, Discover My iPhone) that may allow enterprise clients to tailor apps to their hyper-particular wants.

How It’s Nice For Apple and IBM 

Arguably this deal is best for Apple than IBM. Most of those giant enterprise clients are already shoppers of IBM in some type. And whereas most of those enterprise clients do already use Apple units, the partnership will give Apple a neater distribution channel entry into enterprise. 

This deal might give IBM a cool issue it may possibly’t purchase anyplace else

Apple’s present distribution channels (Apple Shops, Apple’s on-line retailer) are constructed and tailor-made across the shopper; IBM’s are tailor-made round enterprise. This deal won't solely see IBM develop particular apps for enterprise shoppers, it should see the multi-billion greenback firm promote iPhones and iPads with the business-particular options on to enterprise shoppers worldwide. 

That’s a completely new distribution channel Apple didn’t have a month in the past. 

As for IBM, the primary benefit of the deal is its exclusivity. Apple has said its not going to show round and do an identical cope with IBM’s rivals, like HP. That exclusivity means giant enterprise clients will flip to IBM first in the event that they want particular apps developed for his or her firm and need to use iOS units. The deal has the additional advantage of maybe shifting the best way individuals see the one hundred-yr-previous firm. 

Why It’s So Dangerous For Microsoft, Google, and Blackberry

However within the enterprise world if one deal is so good for some, it’s often very dangerous for others. And on this case the Apple/IBM deal could possibly be critically dangerous information for Microsoft and Google. Right here although, it’s Microsoft that it’s primarily dangerous for. For the final a number of years Microsoft has really been pushing Windows Phone in enterprise. This made sense for the corporate and for enterprise clients as a result of Microsoft’s Home windows run on nearly all of enterprise desktops and Windows Phone works seamlessly with it. Microsoft additionally has much more enterprise experience than Apple.

However now that Apple has teamed up with IBM, the corporate with probably the most enterprise experience on the earth, it might see the brakes being utilized to Home windows Telephone inroads into enterprise. As for Google and Blackberry, this initiative might severely hinder the previous and obliterate the latter completely. 

Business analyst Tim Barjarin additionally agrees this transfer might create myriad issues from the likes of Google, Samsung and Microsoft. In a publish on his wonderful weblog, TechPinions, Barjarin stated, “This isn't excellent news for the Android crowd. Google, and particularly Samsung, had been on a course to attempt to get extra Android units into IT. Nevertheless, this Apple/IBM deal will make that very, very troublesome now and, if the deal works as designed, it might just about upstage any alternative Android units have in any future enterprise packages. 

“This will even have an effect on Microsoft’s quest to make Win eight tablets and smartphones the de facto normal in IT. That may have been a troublesome factor to do even when Apple and IBM had not gotten collectively, however will probably be much more troublesome for them to realize a number of floor with Home windows eight cellular units in IT now.”

However It is A LOT Worse For BlackBerry...

Blackberry turned so huge within the noughties as a result of it had a nicely-oiled enterprise answer in its safe messaging platform and had employees that knew easy methods to speak enterprise. However now that Apple has that employees by means of IBM, and iOS is already probably the most safe cellular working system on the planet, this new partnership might be the ultimate nail within the coffin for Blackberry. Why use their telephones for enterprise when Apple and IBM can now supply an answer that's a lot better and rather more scalable?

As for Google, the brand new partnership might see adoption of Android, already hindered in enterprise by its fragmentation and safety points, start to stagnate. Apple and IBM’s answer is simply extra interesting, so why purchase an Android system when you recognize an iOS one will “simply work”?

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