Apple, IBM in massive enterprise hardware, software partnership

CNBC ^ | Tuesday, 15 Jul 2014 | 4:30 PM ET | Matt Hunter

[Swordmaker]

Tech behemoths Apple and IBM announced a partnership Tuesday that could make Apple—traditionally a consumer brand—a major player in the business market.

IBM said it would create a class of more than 100 business applications exclusively for iPhones and iPads to run on Apple's iOS platform. In return, IBM will sell Apple's products with 100 industry-specific apps to its clients worldwide.

Some of the services IBM will provide via iOS include device management, security, analytics and mobile integration, they said in a release. In return, Apple's vaunted AppleCare service would provide support for these applications.

The partnership is about "transforming enterprise," Apple CEO Tim Cook told CNBC in an exclusive interview. The partnership aims to "deliver on the promise of mobile in a big way," he said.

One priority of the partnership will be one of the "biggest inhibitors" in enterprise, which is security, IBM CEO Virginia Rometty told CNBC. Security is increasingly important as cyberhacking and surveillance become more ubiquitous concerns.

The news could impact Blackberry, once the industry leader in enterprise mobile, which is aiming to right itself after years of declining profits and fleeing clients.

"Apple just took a sword and just stabbed it right in the heart of Blackberry and said 'you're done,'" said Ross Gerber, CEO of wealth management firm Gerber Kawasaki, in a "Closing Bell" interview. The partnership is also sure to put more pressure on Microsoft, which is making its own push into cloud and mobile services for enterprise clients.

That software giant is at the first stage of what CEO Satya Nadella recently said will be a transformation away from selling software. The company also launched a version of its office software for Apple's iPad earlier in the year.

[Swordmaker]

Apple and IBM form historic partnership to capture the Enterprise Mobile market —PING!

Apple & IBM Together Again Ping!

If you want on or off the Mac Ping List, Freepmail me.

[Swordmaker]

Better start leaning Apple iOS and OSX, Lx.

[Radix]

Where Apple follows, IBM will lead.

Gosh, the inventors of the personal computer are once again leading the ‘Peanut’ gallery.

[wally_bert]

I hope that Lotus Notes gets left behind.

[InterceptPoint]

Hmmmm. This thread isn't getting the attention it deserves. Methinks this is actually a very big deal, particularly on a day when Microsoft announces that big layoffs are just around the corner.

What this reflects, I believe, is the ever increasing use of tablet computers by corporate America. IBM (who could have been Microsoft) and Apple (who perhaps should have been Microsoft) seem like natural partners to me.

[Dilbert56]

IBM has to solve a lot of these problems because many of their employees use iPhones at work. I’m one of them. Might as well get paid to help other companies do the same.

[Wyatt's Torch]

MSFT just announced 18,000 job cuts

[InterceptPoint]

MSFT just announced 18,000 job cuts
++++
I’m sorry to hear that. But I’m not surprised.

[zeugma]

What this reflects, I believe, is the ever increasing use of tablet computers by corporate America. IBM (who could have been Microsoft) and Apple (who perhaps should have been Microsoft) seem like natural partners to me.

iPads and iPhones have done more to end Microsoft's monopoly of the corporate computer landscape than anything else I've ever seen. I think it's great that Microsoft IT folks are having to actually think about integration of things other than their own little world.

[DesScorp]

"MSFT just announced 18,000 job cuts"

Sigh. Cuts they expected to make from the very beginning when they acquired Nokia. Thats the division the jobs are being slashed from. People simply don't read anything beyond the stupid headlines. MS actually added 30K jobs this year to stateside operations. Those 18K aren't being cut because MS is in trouble. They're being cut because the Nokia division is being changed, moving the focus from cell phones (operations of which are being integrated into the Windows Phone division) to cloud computing and mobile application development. Everyone that watched the Nokia acquisition knew these cuts were coming. That's why Wall Street isn't spooked. These headlines are the equivalent of Slashdot's old "BSD is dying" stories.

I know this ping list is for Apple Rah Rah stuff, but at least let's be honest when talking about non-Apple stuff:

"The Nokia-related cuts were widely expected. Microsoft said when it struck the deal that it would cut $600 million per year in costs within 18 months of closing the acquisition."

Also, from the very same story:

International Business Machines Corp is undergoing a "workforce rebalancing," which analysts say could mean 13,000, or about 3 percent of its staff, being laid off or transferred to new owners as units are sold."

So the "MS is dying" and "Apple/IBM Unstoppable!" stuff sounds a little crass. As anyone that's used Apple stuff for years knows, Apple and IBM's relationships haven't always been all that smooth.

[dfwgator]

Microsoft is still flush with cash, they aren’t going anywhere.

[time4good]

"That software giant is at the first stage of what CEO Satya Nadella recently said will be a transformation away from selling software."

What. A. Joke. Microsoft leaving its install base (which came about by blue-ocean opportunity) and trying its hand at hardware??

It's bad enough I have to try and keep from puking every 15 minutes a Microsoft dancing-college-brats-in-office clickity-click tablets/keyboards commercial comes on.