Gartner: Should big business start using the iPhone? Maybe

August 5, 2008 | Anthony Ha | Comments |

Despite Apple’s efforts to promote the iPhone 3G as a mobile device that’s ready for “enterprise,” i.e. use by big companies, a new report from Gartner says the iPhone still falls a bit short, for two main reasons — security and battery life.

Gartner hasn’t posted a summary of the report, titled “iPhone 2.0 is ready for enterprise, but caveats apply,” but Computerworld has a good overview. Here’s analyst Ken Dulaney’s big message: “Enterprises should approach expanded use of the iPhone slowly and with close examination.”

Dulaney’s biggest concern with the iPhone is security. Apparently, data cannot be encrypted on the device itself, due to problems with the iPhone’s application programming interface (API) preventing third-party software vendors from creating an encryption application. For that reason, Dulaney advises companies against running their own custom apps on the iPhone. That’s rather damning since Apple made a big deal about the iPhone’s potential as an enterprise app platform when it announced the 3G in June.

Instead, Dulaney says, the iPhone is better suited to more casual use like emails and Web browsing. And even then it has limitations — namely the much-complained about short battery life.

Neither of Dulaney’s points are all that unique, but they certainly fuel the perception that the iPhone is more a consumer toy than a business tool. That may not hurt the 3G’s blockbuster sales, but it could mean seeing more and more people carrying a BlackBerry for work and an iPhone for fun — that’s certainly something I’ve noticed.

Still, it’s rather early for a final verdict on the iPhone as an enterprise device, and I’d be very surprised if Apple doesn’t find ways to address the shortcomings that Dulaney mentions. I’d say it’s also too early for BlackBerry-maker Research in Motion to breathe a sigh of relief.

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About the Author, Anthony Ha

Anthony is VentureBeat's assistant editor, as well as its reporter on enterprise technology, cloud computing, and tech policy. Before joining VentureBeat in 2008, Anthony worked at the Hollister Free Lance, where he won awards from the California Newspaper Publishers Association for breaking news coverage and writing. He attended Stanford University and now lives in San Francisco. Reach him at anthony@venturebeat.com. You can also follow Anthony on Twitter.

  • Tom Hancock
    No.

    I am a huge Apple supporter, but the quality of the new iPhone OS and Apps is simply not ready.

    The bottom line is this, something I think Apple is learning the hard way: consumers will deal with quality shortcuts from Apple because their consumers. Enterprises require mission critical apps and functionality. A teenagers phone bricks is one thing, a CEO's or person managing support is another.

    Apple has the innovation. No question about it.

    But they don't have the quality. I hope the company grows into it--they will be instoppable--but the truth is Apple is not their today.
  • Well, I don't think you're alone in that view. I've been pretty happy using the iPhone for work stuff, as have other members of the VentureBeat team, but obviously that's not the large-scale enterprise use that Gartner is talking about.
  • Tom Hancock
    (sorry for all of the grammar errors above. It's been a long day in the office...)
  • It's OK, I assumed you were typing your comments via iPhone.
  • Gartner is an authority on the iPhone? Where's the Magic Quadrant that places mobile phones on two axes?

    C'mon.
  • I admit this isn't an issue I've been following super-closely, but my impression is that a) Gartner has been looking at the iPhone's enterprise readiness for a while now, and b) They're not exactly coming out of left field with these complaints, but echoing issues that others have brought up before, as I mention toward the end of the story. But if I'm missing a big reason why I shouldn't be taking this seriously let me know.
  • Hey Anthony, I think your argument makes sense. Although, I've owned a Blackjack, Verizon 6700, and both iphone generations. I've used them all for business purposes and I am most pleased with the iPhone. The battery life complaint is relevant across the board. PC World published that the 3G iPhone had better battery life than the competing 3g iPhones. I'm not well versed on the security situation, but perhaps that is a valid complaint.

    That said, its far from perfect, but its the most enjoyable and useful phone that I've ever had. I look forward to future improvements and additions.
  • NadjaB
    Let's not forget the extreme cost of data downloads overseas. The iPhone sucks down data like there is no tomorrow, and Apple/ATT are rumored not to be making any corporate data deals that would make the iPhone a viable choice for globe-trotting execs.
  • Most of our C-Suite employees at the fortune 10 company I work for have or are switching to the iPhone, for the information and links to top iPhone business apps check out this post:

    http://newlycorporate.com/2008/08/01/the-top-10...
  • Very cool, thanks! I'll have to check some of those out.
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