Report: Mac adoption expanding in the enterprise

[AppleInsider]

Despite the lack of any clear and obvious enterprise strategy at Apple, analyst Benjamin Gray of Forrester Research reported an incremental gain in enterprise Mac use among the 2,500 organizations the company tracks, representing 50,000 end users.

"Apple's singular focus on user experience has resulted in some success in the enterprise—without even trying to break into the market," Grey wrote in a report cited by eWeek on Friday, noting that Mac deployment in the enterprise has climbed from 1.1 percent in October 2006 to 3.6 percent in October 2007, and by June 2008 reached 4.5 percent. That's much lower than Apple's nearly 20 percent share of the US consumer PC retail market or its 8 percent share of the entire US PC and server market, but significantly higher than Apple's 3.5 percent share of all PCs and servers sold worldwide.

According to Grey, enterprise Mac adoption has been pushed upward by consumer demand. "Strong iPod branding and sales have led to greater consumer sales of Apple PCs," the report stated. "In turn, this has lured enthusiasts and small workgroups with supple IT departments beyond the standard domain of design and media."

That increase is bucking the established mindset that gives Macs the cold shoulder in business settings. "Enterprises often see Macs as expensive solutions that add unwanted variety to an already complex IT management and support operation, while providing little in additional productivity," Grey wrote.

Despite the prevailing negative perception of Macs among business users, many corporations are now investigating increased use of Macs and looking at platform diversity as a strength, not a problem. Additionally, the enterprise platform is slowly shifting away from Windows-based hardware and toward web-based standards that can run anywhere. "Emerging client virtualization solutions shift the focus from standardized hardware to more secure and manageable PC architectures and operations," Gray wrote.



While Apple has promoted its move to Intel hardware and new Mac's ability to run Windows software natively to consumers, it has not expended much effort toward marketing this message directly to enterprise customers outside of a few key markets such as education, hospitality, and video production. Businesses seem to have grasped this advantage themselves. The Forrester report revealed that Intel Macs climbed from from 63.2 percent to 79.9 percent of the installed base of Macs within the enterprise in just an eight month period from October 2007 to June 2008.

In addition to consumer mindshare captured by the iPod and the increased compatibility of Intel Macs, the iPhone is also expected to ignite a halo impact over the enterprise. In its initial iPhone Software 2.0 announcement, Apple reported that over a third of Fortune 500 companies had sought access to the company's iPhone Enterprise Beta program.

In contrast, while Microsoft has been pushing hard to get companies to adopt Windows Vista, its growth in the enterprise has been well below expectations. The company originally set a goal of 20 percent adoption by the end of 2007, but Forrester's study found only 5 percent by October 2007 and 8.8 percent by June 2008.

[ View this article at AppleInsider.com ]

[Galley]

Apple's share of the US consumer PC retail market is 20%? Wow!

[zunx]

TO THE ADMINS:

"3.6 percent in October 2007"?

For the USA or worldwide? It is not the same.

Thanks.

[Donathius]

This doesn't surprise me at all. I work in IT at a local University with ~25,000 student annual enrollment and we've seen a substantial increase in institutional Mac purchases ever since the switch to Intel processors. We used to have only 1 Mac lab - now there are 5. We have also seen a huge nmber of faculty purchases. The main reason for this seems to be technologies like Parallels and Boot Camp. The biggest barrier for Macs on campus has been user's inability to access certain resources that require Windows (and VirtualPC was just too danged slow), but since that barrier has been taken down there has been a huge uptake here.

[.:R2theT]

Originally Posted by AppleInsider

The company originally set a goal of 20 percent adoption by the end of 2007, but Forrester's study found only 5 percent by October 2007 and 8.8 percent by June 2008.

8.8 % by June of 2008? MS has got to be feeling a bit uneasy these days. And Apple is doing all this without really trying!

[jimstead]

Apple has a clearly stated (by Steve) philosophy if not a strategy. He pointed out that when Apple needs a fleet of cars he goes to Toyota or GM and buys the same kind of cars that any individual can buy. The philosophy is to create excellent products that the humans who inhabit companies actually want to use. And it appears to be slowly having an impact.

[amac4me]

Clearly Mac adoption in the enterprise will only gain more traction as a result of the iPhone.

[solipsism]

Originally Posted by AppleInsider

That's much lower than Apple's nearly 20 percent share of the US consumer PC retail market...

I wonder what other HW vendors do in the retail market. Has NPD broken that out or did you measure by only looking at OS X?

The Forrester report revealed that Intel Macs climbed from 63.2 percent to 79.9 percent of the installed base of Macs within the enterprise in just an eight month period from October 2007 to June 2008.

Since they the rise in Enterprise sales has rocketed since the switch to Intel it's not surprising that X86-based Macs are so prevalent. Any idea what the installed base is overall? How about in a year when Snow Leopard is out?

[BostonBoozer]

Originally Posted by AppleInsider

"Apple's singular focus on user experience has resulted in some success in the enterprise—without even trying to break into the market," Grey wrote in a report cited by eWeek on Friday

Okay, Apple always says they're not that interested in the enterprise market, but that doesn't completely explain their server solutions that have many of the things an enterprise demands (directory services, mail, web, calendar, private IM, centralized workstation management, etc.). Obviously those things and OS X Server itself don't target end users, but IT staff.

Maybe they're using "enterprise" to mean very large organizations, since Apple tends to target small/medium (and is probably not quite ready to support very large enterprise-wide deployments yet)... but I'd say they are obviously trying to get businesses to adopt their technologies when things like OS X Server and iPhone Exchange support exist.

[quinney]

Jerry Seinfeld to the rescue!

[lkrupp]

Originally Posted by amac4me

Clearly Mac adoption in the enterprise will only gain more traction as a result of the iPhone.

But wait! What about all that weeping and gnashing of teeth in the Apple discussion forums? What about all the blogs suggesting Apple has dropped the ball? What about the MobileMe "debacle"? What about all the dire predictions of Apple's demise and incredulous reactions to recent surveys showing Apple to be at the very top for customer service?

Could it be that, in the real world, Apple products really do "just work"? Could it be that the "perpetually disappointed" are actually a tiny, teeny-weeny but vocal minority?

[quinney]

Originally Posted by lkrupp

But wait! What about all that weeping and gnashing of teeth in the Apple discussion forums? What about all the blogs suggesting Apple has dropped the ball? What about the MobileMe "debacle"? What about all the dire predictions of Apple's demise and incredulous reactions to recent surveys showing Apple to be at the very top for customer service?

Could it be that, in the real world, Apple products really do "just work"? Could it be that the "perpetually disappointed" are actually a tiny, teeny-weeny but vocal minority?

You have exceeded the allowable limit for rhetorical questions.

[EyeNsteinNo]

Seinfeld!, That's the long time mac guy who's switching to Vista, gonna do those ads for Microsoft running Vista on his Intel mac's.

[LukeD]

Originally Posted by jimstead

Apple has a clearly stated (by Steve) philosophy if not a strategy. He pointed out that when Apple needs a fleet of cars he goes to Toyota or GM and buys the same kind of cars that any individual can buy. The philosophy is to create excellent products that the humans who inhabit companies actually want to use. And it appears to be slowly having an impact.

It is well known that Steve Jobs drives a Mercedes-Benz (This has been reported in both Business Week and Fortune magazine publications).

Mercedes-Benz = first passenger car (search any resource for the first automobile patent)
Apple = first personal computer to use a mouse and GUI (i did not say first computer, i said first personal computer - Check Wikipedia)

Makes sense!

[ouragan]

Despite the lack of any clear and obvious enterprise strategy at Apple, analyst Benjamin Gray of Forrester Research reported an incremental gain in enterprise Mac use among the 2,500 organizations the company tracks, representing 50,000 end users.

"Apple's singular focus on user experience has resulted in some success in the enterprise—without even trying to break into the market," Grey wrote in a report cited by eWeek on Friday, noting that Mac deployment in the enterprise has climbed from 1.1 percent in October 2006 to 3.6 percent in October 2007, and by June 2008 reached 4.5 percent. That's much lower than Apple's nearly 20 percent share of the US consumer PC retail market or its 8 percent share of the entire US PC and server market, but significantly higher than Apple's 3.5 percent share of all PCs and servers sold worldwide.

According to Grey, enterprise Mac adoption has been pushed upward by consumer demand. "Strong iPod branding and sales have led to greater consumer sales of Apple PCs," the report stated. "In turn, this has lured enthusiasts and small workgroups with supple IT departments beyond the standard domain of design and media."

That increase is bucking the established mindset that gives Macs the cold shoulder in business settings. "Enterprises often see Macs as expensive solutions that add unwanted variety to an already complex IT management and support operation, while providing little in additional productivity," Grey wrote.

Despite the prevailing negative perception of Macs among business users, many corporations are now investigating increased use of Macs and looking at platform diversity as a strength, not a problem. Additionally, the enterprise platform is slowly shifting away from Windows-based hardware and toward web-based standards that can run anywhere. "Emerging client virtualization solutions shift the focus from standardized hardware to more secure and manageable PC architectures and operations," Gray wrote.

[...]

In contrast, while Microsoft has been pushing hard to get companies to adopt Windows Vista, its growth in the enterprise has been well below expectations. The company originally set a goal of 20 percent adoption by the end of 2007, but Forrester's study found only 5 percent by October 2007 and 8.8 percent by June 2008.

Good report with a balanced view of where Apple stands in the entreprise market.

One word of advice to Apple: Microsoft's problems with Vista will go away some day, if only with Windows 7 or the upcoming ad campaign with Jerry Seinfeld.

Apple has a very short window of opportunity to use iPods, iPhones and Vista's perceived problems to grow its market share before a free Ubuntu Linux and a rejuvenated Windows (also on a UNIX base?) challenge Apple's market share, marketing strategy and outrageous prices.

BTW, Vista runs just fine on brand new quad-core Penryn computers from HP or Dell. The only problem was with updating old hardware, single or dual-core computers, from Windows XP to Windows Vista. And updating drivers for older printers and computer peripherals. No such problem with brand new quad-core computers and printers.

[wobegon]

Originally Posted by ouragan

Good report with a balanced view of where Apple stands in the entreprise market.

One word of advice to Apple: Microsoft's problems with Vista will go away some day, if only with Windows 7 or the upcoming ad campaign with Jerry Seinfeld.

Apple has a very short window of opportunity to use iPods, iPhones and Vista's perceived problems to grow its market share before a free Ubuntu Linux and a rejuvenated Windows (also on a UNIX base?) challenge Apple's market share, marketing strategy and outrageous prices.

BTW, Vista runs just fine on brand new quad-core Penryn computers from HP or Dell. The only problem was with updating old hardware, single or dual-core computers, from Windows XP to Windows Vista. And updating drivers for older printers and computer peripherals. No such problem with brand new quad-core computers and printers.

What planet is this one from? Windows 7 with a Unix foundation? Perceived problems with Vista? Jerry Seinfeld saves the day?

Welcome to Earth. You apparently got some f'ed up signals from our satellites. Let's see here...

- Windows 7 isn't going to solve Windows' problems and won't be out 'til 2010.

- Vista has real problems in terms of compatibility, and most PCs can only run the neutered Basic iteration.

- Seinfeld, a funny guy, isn't going to turn around stagnant PC sales and reverse Apple's Macs outpacing the industry by 4 to 1 in yearly growth, halt strong iPod and skyrocketing iPhone sales, or impact Apple's 85% customer satisfaction - a new record for the industry.

[solipsism]

Originally Posted by wobegon

What planet is this one from? Windows 7 with a Unix foundation

I've been saying for years that the best way for MS to make Windows viable is to use a Unix base for their OS. To do they need to eat crow, but how much have they eaten now with Windows Vista. It won't happen, but I think it should happen.

[iPeon]

Originally Posted by solipsism

I've been saying for years that the best way for MS to make Windows viable is to use a Unix base for their OS. To do they need to eat crow, but how much have they eaten now with Windows Vista. It won't happen, but I think it should happen.

Nah. The reason behind MS's inability to create a bug free OS is, well... MS's inability to create a bug free OS.

It's not a type of car that prevents accidents, it's the guy at the wheel that does.

[Neil Anderson]

Windows on Unix would be like Vista with airbags!

[iPeon]

Originally Posted by Neil Anderson

Windows on Unix would be like Vista with airbags!

I'll take a good driver over airbags any day.
Repairs cost time and money.

[EyeNsteinNo]

I agree with using a unix base. With all the licensing MS has acquired (SCO, Novell, Next, etc) I would think they have a project buried in some R&D program for doing such a OS.

[EyeNsteinNo]

Whoops!. I forgot mirosoft already has done a unix based OS, back in 1980, Xenix.

Could up-date it with a new GUI and market it as BOB OS II.

[Lun_Esex]

It'd be nice to see info and a chart comparing the relative adoption RATES of Vista and Mac OS X in enterprise.

Imagine Microsoft's shock if it turns out Mac OS X is being adopted by enterprise at a significantly greater rate than Vista.

[Josh Trenor]

Here is a great solution for enterprises: deploy the Mac OS desktop and applications by using a terminal server. A company called Aqua Connect has developed a terminal server that works with thin clients, smart phones, Mac desktops and laptops, and PCs to deploy the Mac OS experience. Terminal servers have been available for the Windows platform for some time, but Aqua Connect is doing it for the Mac. The Aqua Connect Terminal Server allows any device that is VNC or X11 compatible to connect a Mac OS X Server. The new version of Aqua Connect also has RFB and Remote Desktop Protocol (RDP) support (RDP is built into most Windows systems). Multiple users can remotely connect from anywhere to the centralized Mac OS X Server running Aqua Connect. Users can now access the Mac Desktop and applications and run them from a variety of different hardware. As we know, large corporations are usually resistant to change and many small businesses believe they cannot afford the across-the-board switch from PCs to Macs. Aqua Connect allows Mac deployment for enterprises and small businesses that is affordable, easy, and practical. All that is needed is a Mac OS X Server.

For enterprises, this is a very viable solution for Mac deployment. The benefits go beyond allowing PCs, smart phones and thin clients to operate as a Mac. Enterprises can centralize IT, making them more secure and protecting them against data leakage. Aqua Connect Terminal Server can also enhance an enterprise’s application administration and maintenance. For example, once an application is updated on the server, that update will take effect on all users who run the Aqua Connect Terminal Server. This allows updating and patching of software to be centralized to the server alone. This company offers a scalable enterprise solution for Mac deployment that works and can be implemented right now. I think it’s a great idea and a very feasible solution. Users can try out the Mac OS and applications while using a variety of different hardware. Aqua Connect is more efficient and economical than a pilot program, and it offers all of the benefits of a full scale Mac deployment!