Business of Apple in the corporate sector

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2018: Integration of technologies into software of Salesforce and creation of joint SDK

On September 24, 2018 Apple and Salesforce announced large-scale cooperation in the corporate sector. Within joint work of technology of Apple will be closely integrated with business software of the partner and also the SDK tools by means of which developers will be able to create for iPhone and iPad of the application with a cloud platform from Salesforce in a basis will be released. Read more here.

2017

Cooperation with GE for development of software in control of power plants

On October 18, 2017 Apple and General Electric (GE) announced cooperation within which the American corporations will be engaged in development software for control of power plants and jet engines by means of mobile devices. Such software it will be created by both the companies, and third-party developers. Apple and GE also provided jointly the created tools for developers (Predix SDK for iOS) simplifying interaction of mobile operating system Apple iOS and an industrial cloud platform of GE Predix. In more detail here.

The offer of discounts for a cybersecurity insurance together with Cisco

On June 26, 2017 Apple and Cisco announced the joint project within which the clients using the equipment of both companies will be able to expect discounts at acquisition of the insurance policies covering damage from incidents in information security field (cybersecurity).

This statement was made by the CEO of Apple Tim Cook at the Cisco conference in Las Vegas (USA). According to the top manager, simultaneous use of devices of Apple and Cisco is much safer than the competing solutions, including Android-electronic engineers.

Apple and Cisco attract clients with discounts for an insurance from cyber attacks

We jointly think over that if your enterprise or the company use products of Apple and Cisco, their combination could reduce the cost of insurance upon cyber attacks considerably. We want to spend a part of our energy for it. To you it will be profitable — Tim Cook noted, appearing on stage together with the CEO of Cisco Chuck Robbins.

Some information on a new type of partnership with Apple was published in the blog Cisco. It is reported that both vendors cooperate with large insurance companies in order that "offer our clients more carefully worked insurance policies". Cisco is going to create systems which will conduct continuous monitoring of cyber security, and insurers will monitor the correct work and use of these solutions.

It is necessary to tell that this joint project of Apple and Cisco is not the first. Moreover, the companies actively cooperate in the field of cybersecurity. So, for iPhone the application for protection against phishing attacks was created.

At a conference on June 26, 2017 Tim Cook also told that "high-speed line" which was created by Cisco for acceleration of Internet connections in iPhone using switches and Cisco routers appeared also on Mac-computers.^[1]

2016

Disbandment of division of routers

On November 21, 2016 it became known of leaving of Apple from the market of wireless routers. The American company decided to focus more on consumer products which bring it the lion share of income.

According to the Bloomberg agency, within 2016 financial year which came to the end on September 24 the 2016th calendar Apple began disbandment of development team of routers. The engineers who got under reorganization passed into other divisions of the company, including began to work on set-top boxes of Apple TV.

Apple leaves the market of routers

Last time the line of routers of Apple which includes AirPort Express, AirPort Extreme and AirPort Time Capsule was updated in 2013. The company never opened income from sale of this equipment, however it is known that their share in total sales of the producer is very small. So, according to the report for 2016 financial year, sales of so-called "other products" (all electronics of Apple, except smartphones, tablets and computers belongs to them, in addition to routers) made $11.1 billion or 5% of total turnover.

Observers of Bloomberg consider that as a result of closing of business on release of routers the product ecosystem of Apple will become weaker as these devices thanks to a number of unique features push some users to use of iPhone and Mac-computers.

The edition notes that Apple was always inferior to such companies as D-Link, Netgear and Belkin International, in the market of routers as these competitors passed to new standards quicker. The termination of release of wireless routers of Apple will obviously suit other producers of such equipment.

Cessation of production of routers can show the aspiration of Apple to consolidate business around products of consumer level which generate the companies the main revenue, Bloomberg adds.^[2]

Involvement of Deloitte for promotion in the corporate sector

On September 28, 2016 Apple announced the beginning of cooperation with consulting company Deloitte which will help the IT partner to sell his devices and the software in the corporate sector. Read more here.

Start of joint software development with SAP

On May 5, 2016 Apple announced the beginning to software development together with the German company SAP. Thus, the American technology giant took the next step in the direction of the corporate sector.

Joint efforts of Apple and SAP will create the mobile business applications connected to the platform for storage and data processing of SAP HANA for iPhone and iPad.

Apple and SAP integrated in development of the corporate software

Also the companies will release the tool for software development of IOS SDK for SAP HANA and will start the training program SAP Academy for iOS that third-party programmers could create applications for iOS for specific business objectives.

Besides, the modern language of design of SAP Fiori will be available to developers to iOS by means of which it will be possible to create the wholly new applications capable to satisfy needs of corporate users.

This partnership will completely change approach to use of iPhone and iPad in corporate tasks where innovations and security of IOS integrate with profound knowledge of SAP in the field of the corporate software — the CEO of Apple Tim Cook says. — Being the leader in creation of corporate applications, SAP is an ideal partner who will allow us to change really how the companies use iPhone and iPad worldwide.

As Kevin Ichhpurani reported, the executive vice president for strategic development of business of SAP, cooperation with Apple will make the HANA platform available not only for the heads using iPad but also for the employees working outside offices.

Apple and SAP are going to create about 100 corporate applications. Test versions of programs and also a set of development of software should appear in 2016.

SAP filled up the list of large partners of Apple who help the American corporation to strengthen positions in business market. Earlier IBM and Cisco became like those. The annual turnover of Apple in this sector is estimated at $25 billion, or 14% of total revenue.^[3]

2015

The agreement on cooperation with Cisco

On August 31, 2015 Cisco and Apple announced strategic cooperation which will allow the mobile device manufacturer and computers to strengthen positions in the corporate sector.

The statement for joint work was made by the Apple CEO Tim Cook and the executive chairman of the board of directors of Cisco John Chambers during the annual Cisco conference in Las Vegas. Within partnership it is going to simplify interaction smartphones and Apple tablets with the products Cisco, including systems video conferencings (VIDEOCONFERENCING) and service web conferences WebEx.

Apple will strengthen positions in the business sector thanks to partnership with Cisco

For example, owners of iPhone will be able a one click for date of scheduled event in the calendar to start video conference or the application for Cisco Spark joint work instead of looking for these programs in the menu and the necessary information in them. Personal contacts of users of iPhone can be integrated with address directories of stationary phones. Function of automatic calls of employees of the organization on mobile and stationary phones should become one more result of close operation of Apple and Cisco.

Besides, IT giant work on improvement of network capabilities. For example, the Fast Lane technology will provide to important VIDEOCONFERENCING sessions priority capacity in comparison with watching videos on YouTube. At last, Cisco creates solutions by means of which the owners of iPhone working in the networks built on the equipment by Cisco will be able to download updates for mobile OS without decelerations which are often observed during the peak periods – right after an exit of a new firmware.

"For the modern staff of iPhone and iPad companies became the important tools allowing to change approach to work — Tim Cook says. — We consider that together with Cisco we can provide to business tools for the maximum disclosure of potential of IOS and help workers to increase productivity of work by means of devices with which they already fell in love".^[4]

Set of managers for increasing corporate sales

At the beginning of February, 2015 Apple began search of managers who will be responsible for sales of products to corporate clients within cooperation of the company with IBM.

In the section of vacancies on the official site of Apple the message that the corporation makes a team of heads who "will be responsible for all aspects of cooperation of Apple and IBM in certain geographical zones and affiliate programs" appeared. Managers will work in the departments of Apple/IBM located in Seattle, Los Angeles, Dallas, Chicago and New York.

The invited sales specialists will have to conduct negotiations with IT departments in the companies representing the different industries including health care, retail, banking sector, a manufacturing sector and tourism.

Apple recruits managers for increasing corporate sales

Within joint work of Apple and IBM the last is engaged in the fact that she sells to the clients smartphones iPhone and tablets iPad with the new preset business applications. In December, 2014 the first portion of corporate was released software. In the first quarter 2015 of Apple promises to release 12 more applications. The total quantity SOFTWARE and the services planned to release by Apple corporation and IBM exceeds 100.

The source of the VentureBeat edition claims that Apple pursues the aim on invasion into the medical sector of the IT industry and wants to replace the products of Microsoft and other vendors used there with the (more precisely, that are created together with IBM).^[5]

Apple did not confirm and did not deny this information. At the same time the company does not hide the desire to gain a foothold stronger in the corporate sector. According to the Apple CEO Tim Cook, almost all companies from the list of Fortune 500 use iPad for the different working purposes. New managers who are recruited by Apple will have to show to heads of the firms representing different fields of activity, advantages of tablets over traditional computers, BusinessInsider notes.^[6]

2014: The beginning of expansion in business market

As reported on November 10, 2014 Reuters news agency with reference to the informed sources, Apple intends to strengthen the positions in business market, and for this beginning to create special department and to build up the close relationship with software developers.

As a part of the American corporation the special group on corporate sales which will promote the equipment and services of Apple among potential business clients will be created. In particular, this command will conduct negotiations with heads of IT departments of the small and large companies.

One of prospective customers of Apple the edition calls Citigroup bank. Representatives of the companies already conducted conversations about cooperation, but results of meetings are unknown.

Apple will create special department of close work with corporate clients

Within active expansion in the corporate sector Apple hopes to involve third-party software developers. The Californian giant already got support of startups of ServiceMax (creates software for field customer service) and PlanGrid (offers service for work with construction plans). Apple also discusses a possibility of cooperation with some other producers of business programs.^[7]

The marketing director of ServiceMax Stacey Epstein says that about 95% of clients of her company use devices of Apple, and each new client, as a rule, orders thousands smartphones iPhone and iPad tablets. According to Epstein, corporate environment represents very great opportunity for growth of Apple as the volume of only one market of software for customer service on places is $15 billion.

According to observers of Reuters, in business market Apple wants to follow the model selected at sale of smartphones to consumers. At first the company will attract clients at the expense of software and content, and then will begin to sell them devices which bring to the producer the lion share of profit.

"Such scheme can bear fruits, however there is one "but": applications should work and be economic. Whether the company will be able to make solutions, significant for many people, and to reduce costs of clients which they to themselves create? Let's look" — the analyst of Forrester Research John Rymer noted.

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