Will Apple's Momentum in the Enterprise Snowball?

In the fall, I wrote about Apple's (Nasdaq: AAPL  ) ambitions in the enterprise market, speculating that enterprise sales might be the company's next multibillion-dollar opportunity. On Apple's last conference call, COO Tim Cook reported that two-thirds of Fortune 100 companies were piloting or deploying iPads, and an even higher portion -- 85% -- were doing so with the iPhone.

Since then, reports that businesses are adopting Apple products show the company gaining momentum. Pilot programs have morphed into large-scale purchases, making the iPad, in particular, as popular with corporate CIOs as it is with 6-year-olds.

The Wall Street Journal reports that medical-device makers such as Boston Scientific (NYSE: BSX  ) , Medtronic (NYSE: MDT  ) , and Zimmer Holdings (NYSE: ZMH  ) are buying thousands of iPads, seeing the product as a more effective tool for their sales forces than the laptops and printed materials they have traditionally used when meeting doctors to discuss their products.

Meanwhile, a Bloomberg report on iPad and iPhone adoption in the financial-services industry suggests that the long love affair the industry has had with Research In Motion's (Nasdaq: RIMM  ) BlackBerry may be on the rocks. JPMorgan Chase (NYSE: JPM  ) is buying iPads for its investment bankers, and British bank Standard Chartered has dropped the BlackBerry in favor of the iPhone for its employees.

Apple has been beefing up its enterprise-sales team. It has also been working to incorporate enterprise-friendly features into its operating system -- note the remote lock-and-wipe feature that came with the recent release of iOS 4.2.

Although Apple is still miles away from being as dominant a presence in the enterprise market as it is in the consumer market, the company's efforts to penetrate the enterprise market are bearing fruit. A new multibillion-dollar snowball appears to be heading down the mountain.   

Apple isn't the only investment opportunity in the technology. Click here to get The Motley Fool's free report, "The Only Stock You Need to Profit From the NEW Technology Revolution."

Fool contributor April Taylor owns shares of Apple. Apple is a Motley Fool Stock Advisor pick. The Fool owns shares of Apple, JPMorgan Chase, and Medtronic. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.


Read/Post Comments (7) | Recommend This Article (13)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On December 12, 2010, at 12:31 AM, iamtellingu wrote:

    iPad will snowball in enterprise, medical, sales, education and comsumer...

  • Report this Comment On December 12, 2010, at 12:39 AM, IraLA wrote:

    If I could get a return call from Cupertino, I'd give them something to ponder. SJ, have your people send a sign.

    http://wereport

  • Report this Comment On December 12, 2010, at 12:41 AM, IraLA wrote:

    If I could get a return call from Cupertino, I'd give them something to ponder. SJ, have your people send a sign.

    http://wereport.com

  • Report this Comment On December 12, 2010, at 11:43 AM, techy46 wrote:

    The two mirages; 1 - Apple replaces desktops and 2) Google stronger on Web. Apple may replace some dumb phones notebooks for tech challenged execs and road warriors but Google isn't stronger on web. But Microsoft enterprise architecture is going to make Office365 and WP7 make the most stategic sense. To quote "A two-year review showed that the government would get the best value by using earlier investments in Microsoft Exchange, Outlook and SharePoint to create a new e-mail system, the department said in an e-mailed statement attributed to USDA Chief Information Officer Chris Smith"

  • Report this Comment On December 12, 2010, at 1:37 PM, xmmj wrote:

    With consumers, the iPod went and the Mac followed, the iPhone went and the Mac followed in even greater numbers.

    Now, into the enterprise enter the iPhone and the iPad.Once again, the Mac will follow. I believe that it will grow to 20-30% over the next five or six years. Eventually, many businesses will come to understand that the overall cost of ownership is less for a Mac then MS machines.

  • Report this Comment On December 12, 2010, at 10:50 PM, JohnatDuke wrote:

    MillerMan - Glad you are enjoying your new Playbook. It must be great to be the only person in the world to be able to take advantage of all the power and speed of RIM's vapor product. Hey, next time you are not spamming all the sites about how great the non-existent-in-the-wild Playbook is, if you have a good camera can you give us all a good review of how it works. All I've seen so far is RIMs own video -- a real word example would be great.

  • Report this Comment On December 18, 2010, at 3:03 PM, isellwireless wrote:

    And you JohnatDuke sound like an idiot too. Are you and infothathelp trying to get signatures to overturn Prop8? This is not the right forum. Go peddle your vitriol some place else.

Add your comment.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 1397255, ~/Articles/ArticleHandler.aspx, 9/30/2014 12:35:00 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement