Yes, but the IT people are "kinda" smart and in control of the decision. They likely know about the TPM by now and will evaluate costs.
$7,000 for server software
$10-15/month for security service
$50/month for EVDO service
Cost of device? ??? (it has a CPU, memory, etc) I would say at least $75 per unit.
That's pretty expensive! The device can be broken, stolen, spilled on...warranting replacement. There's user issues. If the device "burns out" (which they do), the user is screwed and can't work or access data.
I consider it competition, but I don't think it will be much of competition. It doesn't even work with Vista yet.
Really, we are seeing the end of RSA tokens and stuff with this. This doesn't solve platform authentication, VPN secure access, or anything else that you'd still need the TCG solution for. Why spend the money twice when one solution gets you everything?