Microsoft Exchange Host: iPhone/iPad Crushing Android in Enterprise

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Apple’s iPhone is beating Android more than 3:1 in enterprise deployment, according to a report from the largest commercial Microsoft Exchange hosting service, Intermedia. The firm said 61% of the ActiveSync deployments under its management, while only 17% were Android smartphones. On the tablet side, it’s not even a contest, as 99.8% of the tablet devices that have been deployed under its management are iPads.

Intermedia Chart

Chart by The Mac Observer from data provided by Intermedia

Right off the bat, we’re going to focus on two caveats: The first is that Intermedia claims to be the world’s largest Microsoft Exchange hosting provider with over 320,000 “premium hosted” corporate accounts, but this data is still limited to only its clients. The second major caveat is that BlackBerry deployment is not included in this data because BlackBerry devices connect to Microsoft Exchange services natively, and do not go through ActiveSync. BlackBerry still dominates the Enterprise space (for now).

That said, the company’s data strongly suggests that Apple is enjoying much stronger success in the Enterprise space in terms of market share than it is in the consumer space.

“Android market share and popularity among consumers continues to climb, but business professionals generally prefer the iPhone,” Intermedia wrote in its report. “This is in stark contrast to recent reports showing Android market share beating iPhone.”

Long term Apple watchers and Mac fans will immediately recognize this as almost exactly the opposite of Apple’s other major product line, the Mac. In the computer market, Apple has always had far more success in the consumer space than it has in the enterprise market.

When it comes to tablets, Apple’s domination in Intermedia’s microcosm is even more crushing. The firm said that 99.8% of all tablets that have been activated under the company’s management are iPads, with a token smidgen of Android tablets taking up the rest.

Intermedia Chart

Chart by The Mac Observer from data provided by Intermedia
[Editor’s Note: we had to skew the perspective of this chart for the three Android devices to be visible.]

While sales data for Android tablets has been vague and mixed, Intermedia’s data shows that the iPad entirely owns the media tablet market in the enterprise. The company said that iPad deployment is growing from 300 activations per month to 900 in March and more than 1,200 in April.

Android growth in the rest of the market has been steadily accelerating faster than iPhone, as both platforms eat up marker share from other operating systems, but Intermedia said that iPhones continue to outpace Android smartphones with its customers. In April, Intermedia said that 64% of new device activations were iPhones, with 33% being Android and the rest falling under the “Other” category, which is extra bad news for Microsoft’s own Windows 7 platform.

Intermedia Chart
Chart by The Mac Observer from data provided by Intermedia

This data demonstrates that the iPhone’s dominance in Intermedia’s data isn’t the product of the device’s headstart in the smartphone business, but rather the result of ongoing customer choice. At the same time, this data shows that Android is in the process of eating much of the shared currently owned by the “Other” category.

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Comments

mhikl

Good show, Bry. Didn’t we read that iPhone was doing better since it entered Verizon picture and so much so that Apple was shortening the span between realPhone and Droid?

Enterprise can’t afford the kerfuffles Droids serve in plenty so it goes with what works. No brainer there. Since US Consumers now have the iPhone on their two major providers that seems to be shifting the market. China’s opening up and consumers making to move from feature to smart want the best. Apple’s looking good and if we survive 21 May, who knows, maybe even the disaster crowd will celebrate in the Apple orchard as they await 21,12,2012 which seems a long time away.

The mess that attempted to clone the iPad are licking their wounds and saving their change for another humorous romp with more iPad killers. The slew that are posed for summer fishing will find the pond is a slew where they shall stew, foolishly willing to offer carnival hilarity once again. Hard to be empathetic where lessons are not learned.

Respect your balanced reporting, Bryan. Like your chart even more.

Bryan Chaffin

Thanks, mihikl. smile

I don’t think the Verizon iPhone will narrow the gap. It might narrow the gap in the two platforms’ rate of growth, but Android simply must be bigger in smartphones. My first column to that effect was almost exactly one year ago today.

In tablets, though, iPad will reign supreme for many, many years, if not in perpetuity (in this case I’m defining perpetuity as being until a new paradigm comes along).

Back to this piece, I find it SUPER fascinating that Apple is finding such great success with iOS in the Enterprise. It’s just so backwards from the way we Mac users are used to seeing things.

xmattingly

Back to this piece, I find it SUPER fascinating that Apple is finding such great success with iOS in the Enterprise. It?s just so backwards from the way we Mac users are used to seeing things.

Yeah, it’s crazy how things have shifted so heavily in Apple’s favor in the enterprise. And the funny thing about that is that they’re not even marketing themselves to enterprises.

Steve Jobs said something to the effect that “the great thing about the consumer market (vs. enterprise) is that consumers vote with their dollars, as opposed to IT guys purchasing for everyone else.” Funny that Apple has produced handheld computers that are in such hot demand that they’ve essentially come into the enterprise through the back door by way of employee/consumer.

Not a Fanboy

Is this supposed to be a serious article?  Do you have any journalistic integrity?  No where do you mention the fact that Android phones don’t require ActiveSync, because the phones sync through Googles servers for free and Google has created back end software to sync with Outlook and other mail and calendar applications.  Why would a company pay Intermedia for something they can get for free?  Step out of your world for two minutes and do a little research, then maybe the fanboys who buy into all of this veal will be a little less ignorant.

RonMacGuy

My first column to that effect was almost exactly one year ago today.

Thanks Bryan for the link to last year’s article.  It has a great Bosco opinion that “After the debut of the MOTO Droid, iPhone no longer is appealing enough to Verizon for them to want it on anything near Apple?s terms…”

So Verizon takes iPhone on Apple’s terms and immediately has record sales higher than anything android.  Funny stuff.

RonMacGuy

Back to this piece, I find it SUPER fascinating that Apple is finding such great success with iOS in the Enterprise.

My 60+ year-old engineering director got his Verizon iPhone through my company a few months ago.  It is funny how giddy he is about it.  “Best company phone I’ve ever had.”  When we went to Asia on business he gave several presentations which included the Japan crisis and kept referencing the Earthquake app he has on his iPhone showing the continuing seismic activity in the region.  He discovered the “Words with Friends” game and plays the Scrabble-type game with his wife (on her new iPad 2).  Got me hooked on it.  So, of course, I reciprocated and got him hooked on Angry Birds!!

xmattingly

Do you have any journalistic integrity?

People who post anonymously to make snide remarks don’t have a right to question someone else’s integrity.

xmattingly

So Verizon takes iPhone on Apple?s terms and immediately has record sales higher than anything android.  Funny stuff.

I occasionally wonder how crow tastes.

mhikl

I occasionally wonder how crow tastes.

Not so bad, with a lot of ketchup. (Anyone remember Larson’s Far Side cartoon with vultures and ketchup?)

What nightmares mar the dreams of AndroidFans!
We must awaken sympathy.
Life goes on in the Apple world
Its orchards ripe with futurity
And dust all others’ reality.

Dedicated with care to xmattingly.

Ron, your records are reaping rewards for efforts spent.

Bryan Chaffin

Is this supposed to be a serious article?? Do you have any journalistic integrity?? No where do you mention the fact that Android phones don?t require ActiveSync, because the phones sync through Googles servers for free and Google has created back end software to sync with Outlook and other mail and calendar applications.? Why would a company pay Intermedia for something they can get for free?? Step out of your world for two minutes and do a little research, then maybe the fanboys who buy into all of this veal will be a little less ignorant.

This is one of the most myopic posts I’ve read in some time. Companies hosting through Intermedia need their employees to connect to their networks through Intermedia.

Go cast your aspersions elsewhere.

mhikl

Oh all right, Bryan. I will bow to your superior logic, backed by your knowledge, backed by your experience, backed by all your chums who have their fingers in more Apple cookie jars than I can possibly get to in a lifetime of search.

However, what about this for a viable stretch.
Fact. Not every normal Apple loving or liking or preferring mortal wants the expense of a smart phone, Apple or otherwise.
Fact. Many of us prefer to use the cheapest possible feature phone with low charges that allow for phoning and some texting. We like to greet in the flesh.
Fact. Apple doesn?t have such a cheapo feature phone. (Well, maybe the iP3, almost.)
Fact. Many of us cheapskates still want to do the web from Starbucks and home on an iPhone style device from Apple so have opted for the iPod touch.
Sort of Fact. An elChepo non-Apple feature phone + an iPtouch, kinda equals a duct-taped-together iPhone of sorts. It?s a stretch, I know; and then, toss in a hand-me-down gps for an out-and-about in the car, well Bob?s your uncle and we can do most everything the average joe does with his smart mobile, be it iPhone or decrepit Droidenstein fonee.
Wiggle-Room-Sort-of-Fact. At night with a feature phone, iPod touch and our gps tucked under our pillows we can pretend we are on equal footing with smart phone guys.

So, from all these facts and pseudo-facts I make the stretch that owning an iPod touch (from which Apple makes some ?hange) and enough other gizmo?s, one might sort of fall into the iPhone category, even if it is only a toe in. (Remember, not everyone uses all the features on their smart phones so we?d actually be ahead of their game without the costs and, sadly, without the bragging rights though not without this exhausting tirade of explanation.)

Add us to iPhones sold, and Android doesn?t stand a chance. grin

For the Mypoic, I suggest understanding. Often the bewildered knows not that his shoes are on the wrong feet. I saw a guy wearing them on his ears. There may be a village in search of his kind.

wab95

Bryan:

Nice post, great graphics. As ever, one always appreciates hard data over speculation (although speculation is fine - so long as it appropriately labelled as such).

And speaking of speculation, based on my observation of smartphone use in the enterprise (medical/research environments), I think one disadvantage Android has suffered from is the lack of integration between its phone and tablet offerings, which ice cream sandwich will correct. Granted, the iPhone was making inroads into the enterprise prior to iPad’s release, but the two iOS devices have had an interactive effect on the enterprise space for a year now, which may have given them an advantage over Android, whose initial tablet offerings were suboptimal (2.2) and non-integrated.

We should review this topic in another year’s time.

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