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Overlooked in Q1 report, Apple soars in enterprise sector

updated 02:34 am EST, Wed January 29, 2014

Years after discontinuing enterprise products, post-PC era reaps benefits

Largely overlooked by analysts and investors obsessed with Apple's iPhone segment -- to the exclusion of otherwise strong revenues and growth -- were new numbers on Apple's penetration of the enterprise market, which has seen tremendous growth in the latest figures. Bolstered by BlackBerry's unravelling and a shift towards letting employees use their own preferences for mobile devices, Apple completely dominates the mobile enterprise market.

Apple CFO Peter Oppenheimer revealed that the iPhone is now at 97 percent share among Fortune 500 companies, and in 91 percent of the Global 500. The numbers for the iPad are equally impressive: 98 percent of the Fortune 500 are using Apple's tablet, and 93 percent of the Global 500 are as well.

Obliterating even the iPad's dominance of the consumer tablet market, the iPad made up 90 percent of all corporate tablet activations, and the iPad accounts for 78 percent of the total US enterprise market (a figure that includes the government and educational institutions). The iPhone held a 59 percent marketshare in the overall US enterprise market --but more tellingly, Apple's iOS platform accounted for 95 percent of all app activations, suggesting that alternative platforms used in enterprise are not much engaged with the Internet. Apple's numbers in enterprise were referred to as "unbelievable" by CEO Tim Cook.

Oppenheimer mentioned a number of corporations that use "tens of thousands" of iPhones, including two that have "50,000 iPhones each" -- business analysts Deloitte, and defense and utility contractor GE. Other companies mentioned as big iPhone users were American Airlines and Cisco, among others. Large enterprise iPad customers included British Airways and the National Football League, along with Kindred Healthcare, reports Business Insider.

Noticed by a current Electronista editor who put his time in the military was the mention by Oppenheimer that iOS 7 had qualified for FIPS 140-2 certification, a crucial qualification for many military contractors that might want to buy iPhones. Also mentioned were additional enterprise features added to iOS 7 and OS X Mavericks, the combination of which may clear the way for more Apple product use in military circles.

Cook acknowledged, however, that competitors were also working to make or keep their products competitive in the enterprise arena, noting that the business area is a "longer road" to contracts and rewards than the consumer market. He did add, however, that "I think we've done a lot of the groundwork, as you can tell from these numbers that I've given you, and I would expect that it would have more and more payback in the future."




by MacNN Staff

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Comments

  1. Jeff75

    Forum Regular

    Joined: 09-15-00

    Looks like more growth for Apple.

  1. lkrupp

    Junior Member

    Joined: 05-13-01

    Doesn't matter. Apple is DOOMED! Everybody knows it. Just ask Wall Street.

  1. prl99

    Dedicated MacNNer

    Joined: 03-24-09

    In Wall Street terms, enterprise penetration is just a little noise. However, for all those naysayers who say Apple isn't interested in anything other than consumers, Apple presented actual data that said they are.

  1. Inkling

    Dedicated MacNNer

    Joined: 07-25-06

    Macs would do better in enterprise if OS X had more time-saving, work-saving features:

    1. Decent spell-checking and suggestions. The current open-source-derived version, which lurks in a host of text apps, is dreadful. It doesn't have the righty suggested spelling about a third the time. Even a single wrong letter can leave it hopelessly lost. Fix that.

    2. EPUB handling. With mobile devices, an 8.5x11 PDF export just doesn't cut it. Exporting to EPUB from apps should be as easy as exporting to PDF has always been. Encourage users to apply semantic meanings to text not just formatting.

    3. File-Digital menu. It's ridiculous that some 8 years into the age of moblie/digital devices, there's still no File-Digital menu to let us communicate directly with them. Cloud sharing is a start, but it is too app-specific and thus not flexible enough. Give us a quick, intuitive way to exchange digital files with different apps on different devices and perhaps even devices that belong to colleagues.

  1. hayesk

    Professional Poster

    Joined: 09-17-99

    @Inkling

    1. "It doesn't have the righty [sic] suggested spelling" - well, maybe you do have a point.

    2. First you need to encourage users to make text suitable for ePub, and app developers need to provide the data as well. ePub is still a niche feature.

    3. "File-Digital menu" - I don't know why you came up with this name. File-digital doesn't make any sense. Local peer-to-peer file transfer is what you are asking for - AirDrop does this.

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