So not only is the enterprise market a thankless one, but it would also clash with their message.
Why doesn’t Toyota go after the semi truck market? They’re all vehicles.
Why doesn’t Hilton have a line of bed and breakfast locations? Both are just short-term accommodations.
Why doesn’t the excellent restaurant also have catering services? It’s all making and serving food, right?
Why doesn’t UPS get into the trans-ocean shipping industry? It’s just another form of moving boxes.
When we see sufficiently successful businesses there’s an alignment between the customers’ needs and how the business operates. Once the targeted customer changes too dramatically, the unseen skeleton supporting the company is no longer appropriate, and altering (or adding to) the bones of a business is so difficult and rare that it’s hard to find successful examples. All of this is often reduced to, “It’s just not in some company’s DNA” or “Money can’t fix/create everything.”
So when it comes to Apple and enterprise, all facets of how they do things are geared toward consumers, not businesses and their IT setups. That’s product design, marketing, sales, support, etc. Like most long-term successful companies, Apple has generally been good at working with its strengths and steering clear of its weaknesses. Instead of adjusting itself to accommodate the enterprise market, for example, it’s “easier” (and likely more profitable) to develop AirPods, which I’ve heard on their own would be a Fortune 500 company.
Enterprise/Corporate/Govt all have tedious amounts of niche needs and requirements to endlessly grow.
Can’t find the quote as I’m on my phone, but when a former exec from Apple left and joined a corp, and asked Steve if he wanted to expand to corporate, he said he won’t stop him, but he isn’t going to help him either. (I’m sure I butchered it), but something like that.
Remember, IT = Control.
We were an enterprise customer of Apple. We deployed Xserves in production. Xserve RAIDS. Really cool stuff. We even had an inside enterprise account team.
Steve Jobs simply did not want to do enterprise. He personally told everyone this, including the enterprise team. He always wanted Apple to be a consumer company.
Apple did not want to support enterprise customers for 5+ years. They discontinued parts and support for Xserve and other things way too early for enterprise customers. Dell, IBM, etc., supports their enterprise hardware easily for 5 years and even longer. We bought piles of drives and other parts whenever we could once Apple told us support was being discontinued.
Dell, Lenovo, and others have onsite support for repairs, especially for enterprise servers. Same day and even 4-hours onsite repairs. Apple wanted you to go to an Apple store or in mail it in, even for clear recall items. This is a complete nightmare for enterprise. Wiping drives before going to a store or mailing it, ugh. Dell, etc., a tech shows up, replaces a motherboard in 5 minutes while you watch and done.
I’m not saying I’m a fan of Dell or they are perfect. However, they are an enterprise company that Apple never even tried to match in the slightest.
If you didn’t have the support of Steve Jobs on anything then you didn’t do it. I’m sure that legacy has continued regarding enterprise. I think it’s a okay. Apple doesn’t need to do enterprise.
Apple seems to be doing just fine (including financially) selling widgets to 'regular' consumers. They're already one of the largest companies in the world doing their current strategy: what would they gain from doing "enterprise"?
Further: please define "enterprise market".
Are we talking about hardware like servers? Data storage? Networking? Are you talking about ERP solution? CRM? Supply chain management? Business intelligence / analytics? HRM? Payroll? Identity management? Project management?
* https://en.wikipedia.org/wiki/Enterprise_software
What are the margins on those things? What are the volumes on units? Do you need a sales staff (perhaps working on commission)?
Apple products seem to already be quite popular and in demand, so I'm not sure what 'going after' another market would get them.
Enough sales to bump their market cap needle to the tune of an additional $1 trillion or three.
I think if Apple revisited their old "bicycle for the mind" focus, with computers and software as productivity multipliers for individuals and business, it would naturally have an upstream path to enterprise.
Instead their newer unifying view of devices, apps and media, seems to flow through a services, social, entertainment and store/middleman/gatekeeper/kiosk lens.
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They stumbled onto Vision Pro as being a great Mac enhancer, but I predict that with their loss of productivity focus, they won't lean into where that could go.
"Apple Vision" (not Pro) should be the lower cost, shiny iOS-type $2.00 app sales kiosk "in 3D!" for "everyone" and "anyone", that Apple knows it wants out there.
"Apple Vision Pro" should become a fully Mac-independent Mac-eclipsing no-sandbox powerhouse that leverages visual and gesture computing into highly productive interfaces for deep individual and collaborative work. Justifying prices like $3500, $4500, etc. I know my Vision Pro desperately wants to be that!
Enterprise would see the value in that, once it was on their face.
I hope Apple creates that. But their ambitions seem to be much lower lately.
They are valued at 3.4 trillion dollars with a P/E ratio of 34. They can give a lot of that up, or they can continue to grow, as their current valuation demands.
> Further: please define "enterprise market".
It's simple enough to think of it as some thing they are not doing, but can do, to make money. It's much less of a stretch than cars, which is one thing they've explored.
So if Apple couldn't win the integrated product segment of the server market, they had to compete against the post-dotcom-bubble cloud behemoth. The one that had been more or less cannibalized by Linux and brought down to-cost or even below-cost by AWS. MacOS Server could carve out a cutesy niche as an accessible FTP server and Time Machine host, but they couldn't make a business out of it when Linux did it all for free.
https://web.archive.org/web/20011017163151/http://www.apple....
As for the on-premise workstation market, this is long rumored to be shrinking, leaving the Dell-HP-Lenovo (DHL) triad to the spoils for Linux or Windows on commercial PCs. That dominance yields when remote / BYOD enters the fray (as Microsoft 365 and Google Docs run nearly anywhere).
Look at the products they make. They try to make stuff that targets the widest market possible; everybody. They try not to go for niche markets.
Obviously they could make a foray into enterprise hardware. They did it in the past. They have no interest. The addressable market is too small. As I already said, when Apple makes a product they want to the addressable market to be everyone.
But every enterprise is chock full of iPhones and MacBooks, for which they collect very healthy margins.
I can’t think of any successful, non-consumer facing product that Apple has ever built - it’s not even clear it’s in their DNA. The closest I can think of is Xcode cloud.
Also most companies have already opted their employees into using Macs so that’s something that sells itself with very little sales prowess from Apple’s side.
Selling enterprise software or hardware means paid lunches and dinners to steakhouses, 3-24 months sales cycles, multiple free workshops or demos or presentations. This all costs anywhere from $10K to even millions of $ plus sales teams and internal training, marketing, management and other overhead.
In the consumer market, there’s probably a lot fewer overheads.
Their mainstream prosumer computers are also fine and widely used in many enterprises industries
Mac is growing as well, probably 20% yoy for my place. They probably have the best security and compliance story in the business.
They have a model that prints money. Getting deeper means sales teams skimming 20%.
Verizon or AT&T could do the same thing for you, whether it’s iOS or Android. It’s a consumer device that happens to be used by employees.
Hardware is terrible quality, they have so many issues with faulty screens and charging and every time you have to send one back to Apple via a reseller it takes weeks and the fix cost is usually not worth it, so we have to write them off before they depreciate. Intel Macs often have issues triggering the installation for some reason, sometimes it takes dozen reboots to kick it off.
There's no staging for the OS, each device gets updates straight from the internet and every update breaks something. There has not been a single minor update in 13.x and 14.x that hasn't broken some backwards compatibility (breaking Keychain seems to be Apple's favorite thing) or changing user's settings such as notifications or security&privacy breaking third party software annoying the user and making our lives miserable and there's nowhere you can raise an issue, so you can't rely on building out (limited) automation because API calls keep getting removed, changed or removed in binaries but left in code like the call to trust a cert key in Keychain...
Safari is absolute trash. I have the worst opinion about people who made it, that browser doesn't not belong anywhere outside of testing. It's a complete and utter garbage, the only browser that doesn't know how to handle SSO sessions, can't remember certificate preferences and keeps prompting user for authentication when accessing Keychain when other browsers don't.
Apple Mail is the next worst piece of software I've ever whitnessed in my entire life, it's possibly the only mail client in the entire world that doesn't know how to re-use a connection to an IMAP server, it opens a new connection for every single thing possible absolutely hammering a mail server. This is just absolutely insane.
MDM is incomplete because of MacOS restrictions, there are lots of things you can't do which you would expect from the most basic MDM tool and the most annoying thing about it is that signing into an iCloud account prevents MDM from wiping the device essentially giving someone a device free of charge so what's the point of MDM then...
Apple's devices are built for retail consumers, not enterprise users.
Just all round dealing with Apple and their products is a effin nightmare. It's impossible to explain ethics to Apple users too. They literally have their head in the sand. Apples so crap to service and work with its gotten to the point where I just double my rate to 160 an hour if you want to bring an apple device anywhere near me just to discourage it. Please if you have apple take your business elsewhere. But alas they keep coming and I keep replacing macbooks with real work machines.
