Apple Inc. has entered into a partnership with Cisco Systems, Inc. to increase its presence among corporate users. The tie-up, announced late Monday, will help Apple’s mobile devices operate more effectively on business networks that widely use Cisco gear, the tech giants said in a joint statement.
BlackBerry used to be the undisputed king of the enterprise space. In the last couple of years, John Chen has been aggressively targeting that market. But Apple Inc. is slowly eating into BlackBerry’s enterprise market share, and the current tie-up should only increase its dominance.
Apple iPad Sales May Get a Boost
Apple Inc. CEO Tim Cook and Cisco Systems, Inc. Chairman John Chambers said the two firms had been working on the details of the collaboration since the past 10 months.
“It became clear to me that partnering with Cisco would yield the results that would enable us to transform work,” Cook said yesterday.
Whatever be Tim Cook’s public stance, one of the primary reasons behind the partnership is to give a fillip to flagging iPad sales. Introducing the iPad as a seamless work-place device could open up a whole new market. Cook is well aware of that potential.
iPad sales have declined for six consecutive quarters. Revenue from iPads have tumbled 24 percent in the nine months ended June 27, versus the corresponding period last year. In the second quarter of this year, total shipments stood at 44.7 million. That was down from 49.3 million a year earlier. The negative trend is not specific to Apple Inc. . Tablets as a segment have seen their sales dip in each of the last three quarters.
Optimizing Cisco Networks for iOS Devices and Apps
The collaboration comes at a time when businesses are increasingly looking at ways to incorporate smart phones and other mobile devices to make employees more productive. But managing all of the gadgets has proved to be difficult.
According to Cook and Chambers, the biggest problem was ensuring workers get adequate networking performance in their offices. Apple Inc. and Cisco Systems, Inc. plan to unveil a “fast lane” for iOS devices in workplaces so that critical business applications aren’t compromised.
Another major issue is the over-reliance on iPads and iPhones. Many workers now have their address books on these two devices, instead of their work phones. Since a large number of work phones are supplied by Cisco, integrating such directories could increase productivity.
“iPhone and iPad have become essential tools for the modern workforce and are changing the way work gets done. Together with Cisco, we believe we can give businesses the tools to maximize the potential of iOS and help employees become even more productive using the devices they already love,” Cook said.