What’s next in wake of newly announced Apple-IBM partnership
Apple and IBM yesterday announced an exclusive partnership aimed at bringing IBM’s Big Data and analytics software to iPhones and iPads used by employees in the enterprise. As part of the deal, Apple will service IBM’s software as well as the iPhones and iPads, while IBM will provide more than 100 industry-specific enterprise software programs created exclusively for iOS, selling Apple’s mobile devices with them.
“It’s the solutions the companies will do together that will make the difference,” J. Gerry Purdy, Chief Mobile Analyst at global market research and consulting firm Compass Intelligence, told SiliconANGLE. “It’s not just iPad sold by IBM but, rather, the integration with IBM services that are sold as solutions.”
As the Wall Street Journal reported, such a partnership between Apple and IBM would have been unthinkable 30 years ago when Apple famously attacked IBM in an iconic commercial entitled “1984,” in which it painted IBM as a Big-Brother-like figure protecting the status quo while Apple’s Macintosh provided a pathway to freedom.
But it’s 2014 now and the two tech giants have decided to combine their respective strengths to create a complementary business plan that’s a win-win for both companies. This is a deal that could help both companies equally. “Apple doesn’t do enterprise directly and has given APIs to help build enterprise apps. They don’t do what IBM does so well,” Purdy said. “IBM is increasingly getting out of hardware, especially in mobile that is now done by Lenovo, so this is good for them as Apple’s iOS products are highly in demand. This allows the joint venture to do a better job serving the customer than either could do on their own.”
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What’s next for IBM?
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According to some analysts, the initial impact of this partnership is improved public perception of both Apple and IBM while the future may see IBM striking similar deals with Android device vendors. “[Through this partnership], Apple appears more business-friendly, while IBM appears more attuned to the consumer-centric realities of mobility,” wrote Ezra Gottheil, Principal Analyst at Technology Business Research, in a blog post. “IBM may make similar partnerships with Android device vendors, but Apple’s strong presence, and the uniting of both software and hardware in one vendor that can deliver superior service, make it the easiest platform [for IBM] to begin with.”
Purdy agrees that IBM could partner with other mobile device makers in the future, maybe even decide to acquire BlackBerry. “IBM could do a future deal with someone in the Android space like Samsung so I’d want to wait and see what happens,” he said. “And same for BlackBerry. If BlackBerry gets stability on software and services, they might make a good acquisition.”
As for what yesterday’s Apple-IBM partnership announcement could mean for both companies, “this could be a huge alliance if they execute on it well,” Purdy predicted. “Makes for good PR today and could lead to major success for both companies tomorrow.”
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Watch Steve Jobs introduce the “1984” Apple commercial:
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Photo credit: MyTudut via photopin cc
Photo of J. Gerry Purdy courtesy of Compass Intelligence
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