Tag Archives: ANALYTICS

Apple-IBM alliance unlikely to shake up Indian market #Press #Media #FinancialExpress

The global alliance between IBM and Apple for iPhone and iPad devices targeted at enterprises is unlikely to shake up the Indian devices market in the near term.

Under this partnership, IBM will bring its new class of business apps involving big data and analytics capabilities to Apple’s iPhone and iPad devices, which will be targeted at various segments of the enterprise category.

However, this alliance is expected to have limited impact in a growing market like India, especially in the smartphone segment given Apple’s limited market share.

Vishal Tripathi, principal research analyst, Gartner told FE, “Frankly, I do not see a huge impact in an emerging market like India which is still price sensitive unlike the mature economies.”

He felt that if a similar announcement were to be made by Samsung then the situation would have been different given their dominant market share. “We are not an Apple country,” he added.

The alliance with IBM gives Apple a strong push into the enterprise segment. Sanchit Vir Gogia, Chief analyst and CEO, Greyhound Research, terms this partnership as “interesting”.

He said this alliance would play a key role in shaping the bring your own device (BYOD) concept in Indian enterprise market, while adding that IBM will also bring in its expertise in connecting different kinds of technology platforms. Analysts felt Apple would certainly gain from IBM’s deep strength in the enterprise segment, whose financing arm could provide the much needed leverage in selling these devices.

Apple’s market share in India is below 10% in the smartphone segment, which is dominated by Samsung and followed by other homegrown players like Micromax, Karbonn etc. Similarly in the tablet segment also, Samsung is the market leader followed by Apple’s iPad.

This alliance will also likely to test Google, Microsoft, Samsung and Blackberry.

The Android operating system is the dominating software both in smartphone and tablet segments and it remains to be seems how this alliance will tackle this. Tripathi felt that these players may adopt a wait-and-watch policy before they take any decisions.

“We can expect a different kind of a war and enterprises are most likely to be given a lot more discount on Apple products,” Greyhound’s Gogia said.

Source: The Financial Express

The IBM Apple Deal – A Marriage Made In Heaven?

Image Source: IBM Website

On July 15th, IBM and Apple announced an exclusive partnership to bring Apple devices, business applications, and enterprise-grade services to enterprise customers. Touted to be a landmark partnership, this alliance aims to solve the long pending enterprise mobility issues like security, availability of vertical-specific, enterprise-class apps, deep data analytics and big data capabilities on the mobile among others. In a world where relationships between IT vendors are under constant change – only recently Microsoft and Salesforce.com announced a global partnership – Greyhound Research believes it’s critical to see this announcement holistically.

While more details on the announcement can be read in the press release, Greyhound Research believes this announcement (launched as part of IBM’s MobileFirst initiative) helps IBM make a visible commitment to the enterprise mobility space and will also open up fresh avenues for its ISVs and other partners. We believe this partnership does particularly well in light of some other key announcements by IBM in the recent past, specifically BlueMix, its Platform-As-A-Service (PaaS) and the Enterprise Cloud Marketplace. These announcements, put together, augment the acquisition of Fiberlink (MaaS360) that has already managed to reasonably dent other heavy weights like MobileIron and AirWatch (now acquired by VMware).

Greyhound Research believes while this announcement willdefinitely shake up the status quo in Emerging Markets, whether or not it’s a success will ultimately depend on how well it is executed (details below). We believe it’s important to view this change in context to IBM’s previously lacking top-of-mind-recall for Enterprise Mobility initiatives in Emerging Markets.

  • CIOs need apps and solutions to work (equally well) across all OS platforms and form factors.  Organisations in Emerging Markets are increasingly adopting BYOD programs and encouraging multi-OS, multi-form factor environments. While Apple products are making their presence felt in organisations – a study from Greyhound Research unveiled that 39% of enterprise workforce in Emerging Markets reported using one or more Apple products at the workplace – other OS platforms like Android, Windows Mobile and Blackberry continue to exist and thrive both with consumers and organisations alike.
  • Organisations in Emerging Markets need a partner that truly understands their pains. A recent study by Greyhound Research  unveiled that more than 50 percent IT decision makers were unclear about the best approach to source mobility applications and better manage security. Further, more than 30 percent stated to be confused on choosing a preferred partner for enterprise-grade mobility apps – 27 percent of these stated to be developing apps using in-house team. For this IBM-Apple partnership to be successful, the proposed apps and solutions must serve country-specific industries like Islamic Banking and Microfinance including language support and adherence to regulatory restrictions on hosting and use of Cloud-delivered services. 
  • Clarity on commitment to invest in markets that matter. Countries like China and India that are attracting significant investments from players like Samsung, Blackberry, Google and Microsoft. Greyhound Research believes IT decision makers are wary of players that are shy of investing in feet on street that truly understand enterprise mobility (in specific) and can tailor solutions.
  • Emerging Markets need special financial program to ensure successful adoption. Unlike the US market where Apple devices are bundled (hence cheaper) and organisations have deeper pockets to sponsor devices for employees, organisations in Emerging Markets do not always have such provisions. Greyhound Research believes organisations in Emerging Markets can stand to benefit from IBM’s heavy use of its financial arm, IBM Global Financing. IBM is known to use this tactic to reduce CAPEX payments and offer highly lucrative OPEX payments.
  • Helping CIOs justify and transition existing investments. Mobile first approach is a priority for Organisations in Emerging Markets – a recent study by Greyhound Research unveiled that 70 percent organisations are either already running or planning a mobility technology expansion project. Despite a solid offering by IBM and Apple, Greyhound Research believes CIOs will find it challenging to stop their existing investments and justify a new approach to their mobility initiatives. Questions regarding the success of this alliance still remain unanswered and Greyhound Research advises IT Decision Makers to ask for clarity on some of the key issues raised above prior to making any significant changes to the existing mobility strategy. 
  • Android, Windows Mobile and Blackberry will continue to be relevant for organisations. It’s unfair to assume this announcement means troubled times for other key players in the enterprise mobility arena. Greyhound Research expects this announcement will drive similar announcements – if not bigger – from other players like Google, Samsung, Blackberry and Microsoft. It’s critical for IT decision makers to not stop their investments with these players; instead it is advised to slow down additional investments till more clarity is offered from each of these players.

The union of IBM and Apple is undoubtedly picture perfect and the one that meets all possible tick boxes in the checklist – IBM understands enterprise and Apple masters mobile devices. Put together, there are no areas where conflict can arise. However, Emerging Markets presents numerous challenges and success is contingent on how well IBM and Apple are able to execute in local markets. In short, while this partnership is made in heaven, but only to be executed in realities of a competitive market. 

What’s your Standpoint?

Do you think this is a good step by IBM? Are you also struggling with making a decision on which app to mobilize and how to better manage security? Leave a comment and share with us your experience or send me an email on sgogia@greyhoundgroup.com.

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HP plans to double retail presence to 1,200 cities #Press #Media #TheTimesOfIndia

When the Uttar Pradesh government announced a plan to distribute to laptops to students in the state last year, it was a shot in the arm for HP, the company that won the nearly Rs 2,800 crore contract to provide the laptops. The contract helped HP grab the largest share of the computer market in India — more than 32 per cent in the second and third quarter last year, according to research firm IDC.

HP, which originated the founded-ingarage creation story beloved by Silicon Valley startups, has had a tumultuous few years. The company, which is planning to cut as many as 50,000 jobs globally, is now on its third chief executive in four years. But in India, HP has a different story to tell.

The hardware-to-services player is the largest technology company in India based on its revenue from the country. According to Dataquest Top 20, the company had revenue of about Rs 32,000 crore, or roughly over $5 billion, in FY13, a jump of about 12 per cent from the previous year. HP does not give country-wise figures but for the full year the company’s overall revenue topped at $112 billion.

“Last year was a good year for us. We managed to grow despite the slowdown in the economy. And 2014 and 2015 are key years for the company, given that India will go through an investment phase and we want to align ourselves to that investment,” Neelam Dhawan, country manager for HP India, told ET. HP — the only company to sell both consumer and enterprise technology — has plans to grow in both businesses, though it faces headwinds in the PC space. This year, Uttar Pradesh scrapped the laptop scheme and HP also lost its pole position in the PC market to Dell in the first quarter of this year.

“The way to mitigate the loss of the UP contract is through market expansion. We’ve launched a new PC and a price point to help us grow in a new segment. 1.5 million is a big number in a market that sells 10 million PCs a year, but if you can grow that market to 20 million PCs then it’s less big,” Rajiv Srivastava, president of HP’s printing and personal systems, said.

To help grow the market, HP intends to double the number of cities it is present in to 1,200 by either setting up its own retail presence or through a multi-brand outlets, Srivastava said. The enterprise business — which includes servers, storage, networking and services — is also being given an upgrade with products and bulking up of analytics and security services.

“We have seen some good work happening around mobility. Analytics has been a little weak… for a while but we have seen some good investments from HP from the industry’s perspective. Also when lot of organisations are moving to the cloud, they prefer to work with vendors like HP because the underlying architecture is HP architecture,” Sanchit Vir Gogia, Chief Analyst and CEO, Greyhound Research, said.

Greyhound Research focuses on IT from an emerging markets perspective.

Dhawan, who also heads HP’s enterprise business in the country, says the company does expect Indian enterprises to start spending on IT as they look to take advantage of digital technologies like analytics, cloud-based deployment.

The National Association for Software and Services Companies expects the domestic market to grow at about 9-12 per cent for FY15. The market grew 9.7 per cent in FY14, missing Nasscom estimates as companies and the government pulled back spending in an election year.

Source: The Times Of India

HP plans to double retail presence to 1,200 cities #Press #Media #EconomicTimes

When the Uttar Pradesh government announced a plan to distribute to laptops to students in the state last year, it was a shot in the arm for HP, the company that won the nearly Rs 2,800 crore contract to provide the laptops. The contract helped HP grab the largest share of the computer market in India — more than 32 per cent in the second and third quarter last year, according to research firm IDC.

HP, which originated the founded-ingarage creation story beloved by Silicon Valley startups, has had a tumultuous few years. The company, which is planning to cut as many as 50,000 jobs globally, is now on its third chief executive in four years. But in India, HP has a different story to tell.

The hardware-to-services player is the largest technology company in India based on its revenue from the country. According to Dataquest Top 20, the company had revenue of about Rs 32,000 crore, or roughly over $5 billion, in FY13, a jump of about 12 per cent from the previous year. HP does not give country-wise figures but for the full year the company’s overall revenue topped at $112 billion.

“Last year was a good year for us. We managed to grow despite the slowdown in the economy. And 2014 and 2015 are key years for the company, given that India will go through an investment phase and we want to align ourselves to that investment,” Neelam Dhawan, country manager for HP India, told ET. HP plans to double retail presence to 1,200 citiesHP — the only company to sell both consumer and enterprise technology — has plans to grow in both businesses, though it faces headwinds in the PC space. This year, Uttar Pradesh scrapped the laptop scheme and HP also lost its pole position in the PC market to Dell in the first quarter of this year.

“The way to mitigate the loss of the UP contract is through market expansion. We’ve launched a new PC and a price point to help us grow in a new segment. 1.5 million is a big number in a market that sells 10 million PCs a year, but if you can grow that market to 20 million PCs then it’s less big,” Rajiv Srivastava, president of HP’s printing and personal systems, said.

To help grow the market, HP intends to double the number of cities it is present in to 1,200 by either setting up its own retail presence or through a multi-brand outlets, Srivastava said. The enterprise business — which includes servers, storage, networking and services — is also being given an upgrade with products and bulking up of analytics and security services.

“We have seen some good work happening around mobility. Analytics has been a little weak… for a while but we have seen some good investments from HP from the industry’s perspective. Also when lot of organisations are moving to the cloud, they prefer to work with vendors like HP because the underlying architecture is HP architecture,” Sanchit Vir Gogia, Chief Analyst and CEO, Greyhound Research, said.

Greyhound Research focuses on IT from an emerging markets perspective.

Dhawan, who also heads HP’s enterprise business in the country, says the company does expect Indian enterprises to start spending on IT as they look to take advantage of digital technologies like analytics, cloud-based deployment.

The National Association for Software and Services Companies expects the domestic market to grow at about 9-12 per cent for FY15. The market grew 9.7 per cent in FY14, missing Nasscom estimates as companies and the government pulled back spending in an election year.

Source: The Economic Times

Tweet-Up on #BigDataTalk: How I Met Your Customer: Data Driven Marketing In E-Commerce – Join The Conversation! #Event #Twitter #CX #CustServ #CMO

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Join Greyhound Research (@Greyhound_R) and other esteemed panelists for a tweet-up on #BigDataTalk: How I Met Your Customer: Data Driven Marketing In E-Commerce.

WHEN: Tuesday, June 17, 2013. 3:00 PM (IST) onwards

WHERE: Twitter.com or your fav Twitter app, using #BigDataTalk

WHAT: Estimates predict that the Indian e-commerce industry may reach $70 billion by 2020. Couple this with the fact that over half a billion Indians are going to switch to smartphones in the next five to six years and you get a fair picture of the opportunity that lies ahead of the Indian e-commerce industry.

To thrive, retailers must commit themselves to change rapidly and substantially and find out ways to capture these Omni-channel opportunities. Retailers must explore and understand the customers, their lifestyle, whether in-store or online, listen to them and serve the right products and services anywhere, anytime. Simply put, retailers must move from ‘Performing transactions’ to ‘Building relationships’.

So, how can retailers leverage the power of Big Data Analytics to capture the emerging digital shoppers of India?

Join us for a Twitter chat on “How I met your Customer: Data driven marketing in E-commerce” where we discuss how Big Data Analytics can help businesses satisfy customers who are asking for tomorrow, today.

PLEASE REMEMBER:

You tweet with #BigDataTalk during the tweet-up so that your tweets show up to everyone participating in the tweet chat. Really, no point in missing out the action!

Goes without saying – but best when said – please take a moment and follow other fellow tweeters participating in the tweet-up — always great to grow your network with like-minded individuals.

Follow along, reply or ask questions, and enjoy! We look forward to seeing you on Twitter.

Airtel chops IBM contract in half, comes full circle with its IT strategy #Press #Media #ZDNet

Recently Bharti Airtel signed a new deal with IBM for its IT needs that sent shockwaves through the IT industry and signaled a whole new era, not just for the Indian telecom giant, but in how relationships between telecom and IT may play out from here onwards.

Airtel did renew its contract with IBM, first signed in 2004 for roughly US$1 billion over ten years—but it did so while chopping the deal size in half, or US$500 million, according to reports.Apparently, the big beneficiaries are other IT Indian players such as HCL Technologies, Wipro, TCS and Tech Mahindra, who apparently will get the other 50 percent chunk.

There are several reasons for this—which if you peek under the covers, reveals a paradigm shift in the way that Airtel is thinking of itself and its business. The 2004, 10-year deal with IBM was forged through a revenue sharing agreement. That was then, in the early days of the telecom boom, when Airtel had a 4 million subscriber base, and it needed to do whatever it could—which included offering attractive inducements to technology partners to help it to scale up—to grow rapidly. This is now, when its base has grown 50 times to 200 million, too large to justify the revenue sharing model anymore.

“The declining Average Revenue Per User (ARPU), rising customer expectations coupled with tough economic situation in the country has forced operators to look beyond ‘subscriber base’ theory to become ‘customer obsessed’ to improve bottom-line growth,” said Manish Bahl, vice president and country manager for India, Forrester Research.

These days, the whole mindset at large tech-dependent companies like Airtel has changed. Airtel still wants someone like IBM to handle its tech needs, but today, those are more focused and in areas like Analytics and Big Data which is what the new deal is all about. For everything else, “with the evolution of India’s IT industry, Airtel now has the option of hiring readymade, trained talent from the marketplace. And they have two reasons to do that now—lower cost and more control,” says Peter Bendor-Samuel, chief executive and founder of outsourcing advisory Everest Group.

Plus, as Sanchit Vir Gogia, Chief Analyst & CEO, Greyhound Research observes, more and more “strategic outsourcing deals are increasingly being replaced by cloud and/or managed services delivery methods to leverage the cost and delivery benefits.”

Also, back in the day, Airtel was legendary for pioneering an unusual and ground-breaking agreement regarding its equipment networks, where Airtel would pay for network capacity and not the infrastructure, thereby mitigating its capex spends in a deviously efficient way. This approach—dubbed the dollar per Erlang model—meant that Bharti didn’t have to muck about trying to figure out when and how much infrastructure to add on but only paid for traffic coming out of the tower boxes leaving capacity utilization headaches to the network folk.

That too is now being deep-sixed at Airtel thanks to a new era in telecom where saturation points are being reached and where the focus is now on retaining quality customers rather than pell-mell growth. Moreover, Airtel’s rivals Vodafone and Idea Cellular have been able to do this in-house and ramp up and down efficiency and utilization as it see fits, allowing it to decrease the margin difference between themselves and the industry leader. Now, Airtel wants to make sure that this gap doesn’t narrow further.

Source: ZDNet