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The Apple Core

Jason D. O'Grady & David Morgenstern

Apple: iPhone adoption in the enterprise to climb

By | July 21, 2009, 2:50pm PDT

In its quarterly investor report, Apple executives said that 5.2 million iPhones were sold in the quarter, a year-over-year unit growth of 626 percent thanks to the release of the iPhone 3G S. The new iPhone is currently constrained worldwide, and managers couldn’t say when the supply problem would ease. In addition, the supply issue could slow upcoming introductions in some world markets by a number of week, executives said.

Just as interesting were the statements about acceptance of enterprise and government market customers for the iPhone. In Tuesday’s analyst conference call, Apple CFO Peter Oppenheimer said the company saw great opportunity in these markets.

According to Oppenheimer, some 20 percent of Fortune 100 companies had placed orders of 10,000 units or more. And some governmental agencies had made orders up to 25,000 units.

The security and encryption features of iPhone OS 3.0 is the difference, he said.

Check Out: Bits from Apple’s iPhone deployment guide for the enterprise

This is very positive news for customers that have traditionally been hostile to Apple products. Certainly, Apple’s moves towards Windows integration in the iPhone and in the coming Snow Leopard version of the Mac OS will continue to warm up the usually chilly reception in enterprise IT departments.

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Topics

David Morgenstern has covered the Mac market and other technology segments for 20 years.

Disclosure

David Morgenstern

Freelance journalist/blogger David Morgenstern has nothing to disclose.

Biography

David Morgenstern

David Morgenstern has covered the Mac market and other technology segments for 20 years. In the recent past, he founded Ziff-Davis' Storage Supersite, served as news editor for Ziff Davis Internet and held several executive editorial positions at eWEEK. In the 1990s, David was editor of Ziff Davis' award-winning MacWEEK news publication as well as its successor title, eMediaWEEKly, which focused on multiplatform professional content creation. His byline can be found online and in print publications including CreativePro.com, Peachpit Press' Mac Bible and Popular Photography.

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Go to bed already. You sound like a tired old troll. (NT)
No More Microsoft Software Ever! 6th Aug 2009
NT
0 Votes
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Why would anyone want
davebarnes 21st Jul 2009
an iPhone when there are many great phones using Windows Mobile?
0 Votes
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Windows on my PC and my phone?
prof123 21st Jul 2009
Why in the world would someone want a Windows Mobile
phone. Isn't it enough frustration to deal with your PC,
all the viruses, the bloatware? Is there another device
which turns off with a Start button? Real intuitive...
0 Votes
+ -
nt.
0 Votes
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So...
Sleeper Service 21st Jul 2009
..does that mean that enterprise orders for iPhones are about 250,000 - 500,000 amongst the Fortune companies and government?

That's not a lot really.
0 Votes
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@ Sleeper Service
Pat S 21st Jul 2009
It is always great to be a naysayer. I'm sure from the tone of the
remark you would expect them to sell 1B to the fortune 100. If you
take the rose color glasses off, the Iphone is selling as well as any BB
device or any other smart phone for that matter. So I guess you
believe the iphone won't sell to Fortune 100. Apple has targeted the
Iphone to the consumer market and now with the 3GS and Snow
Leopard has a low cost solution which RIMM needs to be concerned
about. If you have spent any time around corporate IT, then you will
know that inertia is a powerful force. They all have a checklist of
items a mile long to introduce new hardware to the infrastructure, but
what the 20% shows also is Apple has enough to make the grade and
many folks prefer the iphone to the BB. So let's take a look in a year
shall we.
0 Votes
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Sure...
Sleeper Service 22nd Jul 2009
...it's just not going to be any different.

Snow Leopard as a low cost alternative? That's a good one!
0 Votes
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yes it is a good one...
rwahrens1952 22nd Jul 2009
Because SL COSTS less than windows! One doesn't
have seat licenses, since SL server comes with an
unlimited seat license.

Anybody that knows anything about Windows and
running it in an Enterprise knows that the major
costs involved are due not to costs of software,
which are still considerable, but due to the seat
licensing.

Even after buying and installing Windows on both
your workstations AND the servers, you still must
buy a seat license for EACH workstation to connect
to EVERY server it touches - domain controller,
login servers, DNS servers, every frickin' one of
'em requires a SEPARATE seat license!

Guess what? Snow Leopard, indeed, ANY Apple OS
license can be bought with an unlimited licensing
scheme, for only a thousand bucks.

Beats the hell outta Micro$oft's pricing scheme's
any day of the week!
0 Votes
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Good one indeed.
UncleBubba 22nd Jul 2009
Guess you don't know very much about running Windows in an enterprise then. Licensing is per user or per server.

0 Votes
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Exactly.
Sleeper Service 23rd Jul 2009
You can tell the people who work in IT and those who merely believe the rubbish that the likes of Roughlydrafted publish.

Snow Leopard as a mass market enterprise solution? LOL!
0 Votes
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Go to bed already. You sound like a tired old troll. (NT)
No More Microsoft Software Ever! 6th Aug 2009
NT
That would be a major surprise.

I can remember when IBM came out with their PC in the
80s. The important factor then was that IBM's name
brought acceptance for PC in corporations.

Now Apple has a product that is gaining corporate
acceptance fairly fast. It's probably having a fair amount
of development of specific company apps (meaning Macs
are being used) and the Apple name is far more
acceptable than anytime I can remember.

I certainly don't expect Apple to take over MS's position in
enterprise. I do, however, believe that the camel has its
nose under the tent flap and you'll be seeing Apple
expanding their position in profitable areas. Clerks will
continue with the cheapest computer possible and Apple
will work on the more expensive levels.

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