Following Steve Jobs announcement that he was stepping down
as CEO of Apple two weeks ago there has been a great deal of IT industry press about
Apple and its future role in corporate IT. This is a market that Apple has previously
failed to conquer, while the MacIntosh made in roads into education and the
graphics design/architecture niches it failed to gain any real market share in
the rest of the corporate world. Apple has long eyed the corporate market as an
untapped growth area rivalling the consumer market for potential revenue and
profit growth and with the never ending need to grow and exceed analysts
expectations and its market dominance of the consumer market it must surely be very
tempting. Certainly the iPhone and the iPad are making their way into the
corporate landscape in a way Apple has not been able to do since the early days
of the Mac, that is through the board rooms and executive suites.
But should Apple be so eager to become a major corporate player,
have they considered what it may cost the Apple brand?
As I noted in my blog last week corporate IT is on the nose,
it has been responsible for massive job losses, outsourcing, off shoring and
untold human misery. And yes I know, executives made these decisions not the
technology but there is a deep seated suspicion around any corporate IT project
or new IT product that is entirely justified. This suspicion has impacted the
major corporate IT vendors such as IBM, Oracle, SAP and Microsoft and there
brands have suffered accordingly. The current fad with cloud computing is as
much a reaction to perceived problems with existing vendors and corporate IT
departments as it is about economics. Apple has never been called the “evil
empire” (a phrase coined by Novell’s CEO to describe Microsoft) as it has not
been tainted with the poison corporate IT chalice. As one of the IT newsletters
pointed out last week Microsoft has changed the world more than Apple, however Apple
has gained the moral high ground and consumer perception of being the world
changer.
That is because Apples products have enhanced users lives,
not threatened them. Apple has changed the way music is consumed, totally
replaced Sony’s walkman, made family photos portable and available anytime
anywhere and provided the technology (via the iStore and its web of application
providers) for connecting friends and family instantly. This is all perceived
as positive to individuals, this brand perception is incredibly valuable to
Apple and contracts starkly to perception of corporate IT vendors. Also Apples products are about personal
freedom and individuality, what will Apple need to sacrifice to meet the
command and control imperatives of a modern corporation (the industry press
have gleefully listed a great many changes that Apples needs to make to be
accepted as corporate grade IT)?
The billion dollar question is – can Apple seriously enter
the corporate IT market, make money and
maintain its brand position of innovation that enhances our lives?
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