A close study has shown that opening the doors to iPhones at large-scale business has not only made workers happier but has often saved money over competing smartphones in the process.
Where Forrester had previously warned companies to avoid iPhones when possible due to the high phone prices and lack of security, it now says that many of these legacy worries have been softened significantly in the wake of Apple's iPhone 2.x firmware and uses Amylin Pharmaceutical, Kraft Foods, and Oracle as examples of how permitting the phones ultimately helped their respective bottom lines.
Amylin's senior IT director Todd Stewart describes iPhones as being easier to support than "other mobile platforms" and that iPhone 2.0's hooks for Exchange calendaring and e-mail meant it only took three days to ready the 3,000-person firm to support iPhones. The relative strength of mobile Safari and the e-mail client has led many to treat their systems more like netbooks than mobile devices.
On a pure cost basis, the phones themselves are less expensive to run: their combined plans save about $360 per year, per phone. Stewart adds that individual ownership of devices, instead of handing them out from a corporate pool, has also trimmed costs by persuading workers they should be more careful with their smartphones.
"If an employee owns his own device, the phone tends to hit the pavement a lot less," he says.
Kraft, meanwhile, emphasizes that the iPhone was brought in to support a "culture change" at the company and that many of those using iPhones are happier than they were before they switched. It pushes the company at large to use newer technology and has been cutting costs by letting iPhone owners get their own support rather than depend on the company alone for help. "Overall they provide better support than we can," one person from the company's IT management says.
Oracle sees the iPhone's software development base as a way of rendering its business tools mobile and sees the smartphone as offering possibilities that weren't there before. The company plans to develop apps for customer relations management and other key aspects of its business, and at the iPhone 3.0 SDK event demonstrated some of these apps in advance of their release.
Some problems still remain and range from hardware to purely administrative issues. Besides the sometimes short battery life, calendar sync and VPN auto-login aren't fully in place. Management tools to control the phones' security are still relatively scarce, and features that are for now taken for granted in veteran mobile operating systems, like copy-and-paste text, aren't in place as of April. As many businesses won't necessarily keep traditional company-wide accounts, it's often necessary to move users either to individual corporate accounts or even personal accounts that are matched with official compensation.
iPhone 3.0's release in the summer should address some of these problems, particularly CalDAV for calendars, a more automated VPN login process, and significantly tighter security policies that involve disabling built-in cameras in high-security environments as well as creating encrypted backups.
Even with the immediate hurdles, all three of the sample companies have had rapid growth or expect to in the future. Oracle currently counts 4,000 iPhones among its total mobile base; Kraft is adding 400 phones a month and may top 5,000 by December, while Amylin despite its size still anticipates that as many as 650 of its smartphone-equipped workers — or 75 percent — will use iPhones by the end of the year.
And notions that BlackBerries are go-to devices should fade, according to Schadler, who argues that smartphone use is no longer dominated solely by e-mail and schedules, with other functions often falling short on those phones that center too heavily on obvious corporate uses.
"We find the BlackBerry better for email and calendaring and the iPhone better for everything else," he notes.
272 Comments
It's good to see an analyst who understands some of the less obviously tangible but still very real advantages of giving people a device they actually want to use.
There are only two things stopping me from using my iPhone for work.
1) I would need a North American data and voice plan as I travel extensively between the US and Canada.
2) My IT department.
I have an iPhone and love it, but I don't use it for work. There are some things that people miss for business use, as often been repeated:
Searching email
cut and paste
store and email attachments from the phone
3.0 will take care of the first two, right? How about the ability to attach files?
No doubt it is far, far better than a Blackberry for internet access. It you are using web based applications at work, it would be a better choice.
can you load apps on an iphone without itunes?
not very corporate if you want to load a sales app for your sales force and you have to use the App Store to do it. one the blackberry you can load apps by packaging them into an executable
While the form factor of most Blackberries (in particular the newish Curve model) is excellent for typing, after all the hype and seeing so many of them on the train in the hands of 'suits', I have spent time playing around with most models in my local Vodafone store. I cannot believe why people prefer them over even a regular Nokia or Sony Ericsson - never mind the way more intuitive iPhone? While the industrial design and keyboards are great, the GUI is inconsistent and looks like an early 1980s VDU/Terminal! Even the (awful) Storm is ugly and a pain to use once you have got beyond the sexy styling and icons.
The iPhone is quite simply light years ahead in stability and usability - and to be frank, if the whole planet got to play with one, (and it had a better camera and was thinner), the iPhone could occupy an even larger chunk of ALL markets, from kids to corporate. It's robust hardware and OS means that the iPhone will remain relevant and in your pocket so much longer, the price is less of an issue. It is an investment.
(Do I sound like an Apple fanboy? Actually, I am a Mac user, but the iPhone is what makes me a fan - the OS is so incredible. I actually think Apple should dump OS X desktop and create large 'iPhone' type devices from the rumored 7 to 10" giant iPod Touch to 30" iMac Touches. Imagine PhotoShop or Excel with multitouch? They would be so much easier and faster to operate.)
Phew! Bed time. (Oh, guess what, I don't even have an iPhone, but I do have an iPod Touch V2. Lovely!)