Wave Systems Corp. (fka WAVXQ)

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Will Dell's Smartphone include "...enterprise security.."

The first article I've come across that makes any sense to me.
Especially this pungent line pointing out that the Dell Smartphone needs to leverage its relationships in the enterprise sector to provide what no one else is providing, namely, "desired security and integration".

"...leverage their existing enterprise relationships...while at the same time providing all the desired enterprise security and integration features, they will do well in enterprises."

The articles emphasizes the Dell Smartphone needs to be "revolutionary". Trusted Dell PCs bundled with Trusted Dell Enterprise Smartphones. How else will Dell rardically differentiate itself from the crowded mass of current smartphones?


"If Dell is planning to dominate the market they should only enter if they have a revolutionary product. If they merely want a solid percentage of the enterprise market and can provide a competitive product, their chances look good."


"Dell has the potential to leverage their existing enterprise relationships into a strong smartphone market. If they can provide a product that is competitive with the iPhone or Storm in terms of user acceptance, while at the same time providing all the desired enterprise security and integration features, they will do well in enterprises."


http://www.glgroup.com/News/Should-Dell-Enter-the-Smartphone-Market--32881.html

Should Dell Enter the Smartphone Market?


Analysis of: Dell Prepares To Dial Into Smartphone Marketplace (

Implications: If Dell is planning to dominate the market they should only enter if they have a revolutionary product. If they merely want a solid percentage of the enterprise market and can provide a competitive product, their chances look good.

Analysis: Smartphones still represent a relatively small percentage of the overall mobile market, so the potential growth is huge. Further, most experts predict the overall market will gradually move toward smartphones, so eventually all mobile phones will be smartphones. On the other hand, competition in the smartphone market is brutal. Leaders today include Apple’s iPhone, Nokia, the RIM Blackberry family, and the multitude of Microsoft’s Windows Mobile offerings. The new Palm Pre shows great promise, as do the various implementations of Google’s Android. Companies such as Motorola cannot be counted out. Given this array of competition, it’s clear Dell faces major challenges in this market.

If Dell has aspirations to become one of the two or three overall leaders in the smartphone market they should only enter if they have a truly revolutionary product akin to the Apple iPhone when it was introduced. A me-too product won’t be good enough. The success of the iPhone has already spawned a wide array of competition, and one more product of that type won’t get Dell a leadership position. RIM’s Storm provides a good example of this – it is an excellent product (although the early glitches certainly haven’t helped it any!) and doing well, but not taking the market by storm. Dell must do better than the Storm if they want to lead this market.

On the other hand, Dell has an entrenched position in enterprises. If they are content with a leadership position in the enterprise market they have better prospects. The iPhone has not been well accepted in enterprises. RIM’s Blackberry’s dominate, with Windows Mobile products in a strong position. Nonetheless, the success of the iPhone in the consumer market is putting a lot of pressure on IT departments to accept it. The better integration of the latest iPhone with enterprise tools has removed many of the barriers to its adoption, but resistance remains.

Dell has the potential to leverage their existing enterprise relationships into a strong smartphone market. If they can provide a product that is competitive with the iPhone or Storm in terms of user acceptance, while at the same time providing all the desired enterprise security and integration features, they will do well in enterprises.

The final piece Dell needs is sponsorship from major carriers, particularly AT&T. Enterprises typically already have contracts in place with carriers, and will not be willing to set up a new contract just to provide Dell phones. If Dell could get relationships in place with all the major carriers it would be a huge step forward for them. If they can only achieve one or two carriers their market will be limited.

Given a competitive product and relationships with major carriers, Dell can use their corporate presence, volume discounts and existing enterprise relationships to carve out a respectable smartphone market. It may never be enough to make them a leader overall, but they could become a leader in enterprises. CIOs want to provide smartphones that work with their existing carriers, have enough features to satisfy the users, and are secure and integrate well with enterprise tools. If Dell can do that, they can succeed.