June 28, 2007 10:01 AM PDT

Gartner: Businesses should be wary of iPhone

Analyst Gartner claims the iPhone could "punch a hole" through corporate security systems if workers are allowed to use the phone for work purposes.

IT departments should be extremely wary of allowing employees to use Apple's mobile handset because it does not contain the necessary functionality to comply with basic corporate security, analysts warned in a research note released on Thursday. The iPhone will be launched in the U.S. on Friday.

Gartner lists the following reasons to steer clear of the iPhone for now:

• Lack of support from major mobile device management suites and mobile-security suites

• Lack of support from major business mobile e-mail solution providers

• An operating-system platform that is not licensed to alternative-hardware suppliers, meaning there are limited backup options

• Feature deficiencies that would increase support costs (for example, iPhone's battery is not removeable)

• Currently available from only one operator in the U.S.

• An unproven device from a vendor that has never built an enterprise-class mobile device

• The high price of the device, which starts at $500

• A clear statement by Apple that it is focused on consumer rather than enterprise

Integrating mobile devices and other communications technology into corporate IT networks, while maintaining security policies, has become an increasing problem for businesses. The problem is exacerbated by the fact that manufacturers provide tools that allow staff to unilaterally integrate their device into the corporate network, the analyst group claims.

"Most handheld devices come with easy-to-use tools that enable rapid interfaces to business systems," the report stated. "When end users install such tools, they effectively 'punch a hole' through the enterprise security perimeter--data can be moved across applications to personally owned devices, without the IT organization's knowledge or control."

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Gartner argues that companies should develop a "managed diversity" approach to supporting mobile devices. This approach effectively allows a wide variety of devices to be supported, but with trade-offs, such as limited access to some systems, to maintain security levels.

However, because the iPhone is a new device, and Apple doesn't have a history of building secure mobile devices for businesses, the analyst group recommends that companies leave the handheld alone for now.

Apple is not positioning the iPhone as a business device, but the company's decision to use the Ajax development technique in the handset could make it a useful platform for enterprise mobility. Business and service providers can effectively create Web applications in Ajax and port them onto any device--including the iPhone--with minimal fuss, Apple claimed at its World Wide Developers Conference, held earlier this month in San Francisco.

"Developers and users alike are going to be very surprised and pleased at how great these applications look and work on (the) iPhone," said Apple Chief Executive Steve Jobs. "Our innovative approach, using Web 2.0-based standards, lets developers create amazing new applications while keeping the iPhone secure and reliable."

Google Chief Executive Eric Schmidt, who sits on Apple's board, has also claimed that the iPhone is uniquely positioned to become a mobile platform for the search specialist's hosted applications.

"iPhone is a powerful new device and is going to be particularly good for the apps that Google is building. You should expect other announcements from the two companies over time," he said.

Apple could offer no comment on Gartner's report at the time of writing.

Andrew Donoghue of ZDNet UK reported from London.

See more CNET content tagged:
corporate security, Gartner Inc., enterprise security, Apple iPhone, AJAX

43 comments

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Ironically, they give them away
I was at a Gartner conference a few weeks ago.
The grand prize for filling out one of the Gartner surveys was an iPhone.
Pretty amusing.
Posted by jhoskins (33 comments )
Reply Link Flag
Businesses should be wary of Gartner too
It is very interesting there is so much intentional negative press from some organizations on the iPhone. Sure there is a lot of hype on the iPhone from some media organizations, but according to reputable sources (NYT, WSJ), the hype's mostly justified. There is no real "news" on the negative articles I have seen so far - but it is interesting, almost humorous to see such attitude, and one wonders what's the real reason behind it.
Posted by justice007 (13 comments )
Reply Link Flag
Reflexive Appleitis
I am personally not the world's biggest Gartner fan, and I own an iPod and used to exclusively work on Macs (had to make allowances for Windows in biz world). But this "what's behind it" stuff -- hello, could it be possible that Gartner has a point, and Apple said so itself? Apple says this is a consumer, not an enterprise device. What is the deal with Apple-ites defensiveness? So someone pointed out there could be issues with an iPhone used for work? Big whoop, don't use it for work email. That's a reaasonably useful communication for employers. Calm down, go get your iPhone and be happy.
Posted by Merredith (4 comments )
Link Flag
Gartner: Way, way off base
Is this guy for real?? He needs to read the article which CNET published yesterday concerning the security issues: <a class="jive-link-external" href="http://news.cbsi.com/The+pros+and+cons+of+iPhone+security/2008-1029_3-6193430.html" target="_newWindow">http://news.cbsi.com/The+pros+and+cons+of+iPhone+security/2008-1029_3-6193430.html</a>. Gartner is a joke. He has no clue. He only spreads FUD.
Posted by Silver_Surfer3838 (7 comments )
Reply Link Flag
Incorrect...
The article you link to is related to Consumer Security; Not Enterprise Security. These are totally separate things. ANY new device that does not adhere to normal security standards are dangerous to enterprises. Since Apple defines their own standards it make sense to warn businesses.

Cry how you want, but Gartner is correct on this one. Even Apple says this is not a device for Business.
Posted by umbrae (1073 comments )
Link Flag
WRONG, No Central Management Tools....
However you want to color Gartner's warnings to enterprises about the iPhone (I often do not agree with Gartner myself) it has no central management capabilities such as that with MS Mobile in conjunction with Exchange OMA and Blackberry Enterprise Server.
Without that critical piece the enterprise has no control over that device. With our current setup we have the capability to at least wipe or lock a mobile device that has been stolen or lost and without that critical piece Gartner is correct.
Posted by fred dunn (793 comments )
Link Flag
Businesses should be wary of Gartner
Seriously, for a company that is supposed to provide trending insights, their "advice" in this matter seems baseless and wrought with FUD. I'm sick and tired of Gartner's terrible reports and companies would do better to ask their Sys and Net admin for advice on the proper device for business than Gartner.
Posted by fallenrogue (1 comment )
Reply Link Flag
Predictable
Any time there's a major tech news story Gartner is out there with its usual hysterical and ill-informed (but headline-grabbing) "analysis". The media has given them an unlimited free pass for crying wolf.

Now why anyone would actually pay for Gartner research, that's a question for the ages.
Posted by solrosenberg (124 comments )
Reply Link Flag
Theory
... maybe some companies pay Gartner to write the reports.
Come to think of it, where <i>do</i> they get their financing?
Posted by Thomas, David (1947 comments )
Link Flag
FUD Cry Babies Gartner
Whaaa! Whaaa! Steve Jobs did not give us free iPhones for our personal use...errr...I mean for security testing.
SO, iPhone is a major security risk because it is new &#38; hasn't been tested yet, blah, blah, blah.

Hello?
1. AT&#38;T has been a corporate partner with Apple for many mnay years &#38; with Cingular has enormous cellphone experience with corporations.
2. Mac OSX is a secure OS (much more so than MS-WIN OS ) &#38; Safari had 128 bit encryption.
3. AJAX apps can be easily written for iPhone with any business customization &#38; security protocols...over the head of Joe Blow IT Dude in corporate America? Well, um, I never seen or used that application before, so IT'S A SECURITY RISK!

Total BS FUD Gartner. Apple primary concern over not having the iPhone opened for everyone is the fact of control over security on the iPhone.
Posted by Llib Setag (951 comments )
Reply Link Flag
re:FUD Cry Babies Gartner
This coming from the same person who is always quick to link to any article that is negative about Microsoft as if it's gospel. Granted Gartner did have a couple of decent points, but overall is it really going to be that huge of a security risk? - probably not.
Posted by Charleston Charge (362 comments )
Link Flag
FUD spreading
I'm not sure why Llib Setag has this persistent need to cause misunderstandings and intentional misrepresentations of the topic. Any time anyone says anything that he does not agree with, then its immediately 'fud this' and 'fud that'.

Never mind that his argument hasn't changed or kept up with the times. The world HAS moved on, but Llib has not.

His points are interesting, and in fact quite entertaining. I enjoy fiction as much as the next person and his posts are amongst the best.
Posted by Vegaman_Dan (6683 comments )
Link Flag
F E A R ! ! !
Can you smell the fear from those ANALysts that have made their living from shining the shoes of MS?

And where do they get their facts? Here are some of the "points" Gartner made:

"No firewall"-- Firewall has been standard on OS X from day 1.

"...would have to forward e-mail to an Internet service provider..."-- or maybe turn on IMAP.

"...PBX integration..."-- OK, I'll bite-- do all the other phones in corporate use have this?

Besides the outright factual errors, the rest of the analysts' statements were just chock-full of FUD.
Posted by MacVet (45 comments )
Reply Link Flag
Gartner is Way Off Base
Gartner is <i>almost always</i> creating <i>conflicting</i> reports. Not all analysts are in agreement, <i>including</i> within
Gartner. <i>However</i> given the fact they are trying to raise a <i>"red herring"</i>, over the iPhone is, to say the least, very
interesting.<p>IMAP, and SSL is how you can securely connect with Microsoft Exchange. But the other points have me curious indeed. Not
necessarily with their validity, but why they are even points at all. We know the iPhone won't even be in the publics' hands until June 29th,
<i>after 6pm</i>. We know the level of secrecy involved in its' development, and that fact alone raises interesting questions about the
reports argument points.<p><font color="blue">Lack of support from major mobile device management suites and mobile-security
suites</font> It doesn't matter which suite they are talking about. We <i>know</i> the software running on the iPhone will be Apples.
The question I want to know is, which suites are they talking about? What do they provide? Why is it so important that the iPhone have
them?<p><font color="blue">Lack of support from major business mobile e-mail solution providers</font> This bullet-point could
<i>not</i> be more misleading. Since they cannot truthfully say that the iPhone will not work with "major business mobile e-mail
solution providers", they are <i>implying</i> it. The bullet point would be far more accurate if it read "does not support third party
proprietary e-mail protocols". But I guess that wouldn't have the same "bite".<p><font color="blue">An operating-system platform that
is not licensed to alternative-hardware suppliers, meaning there are limited backup options</font> Whoa! OSX on other devices? First of
all, <i><b>is obtuse, and false</b></i>. The iPhone syncs with your computer system, and email. It isn't the repository for that
information. Your computer system(s), and email <i>are the backups</i>.<p><font color="blue">Feature deficiencies that would
increase support costs (for example, iPhone's battery is not removeable)</font>. The fact that it has a battery is a support cost, whether it
is removeable or not. How much will it cost to replace the battery? How often will you have to replace the battery? I know there is a 1 year
warranty on the phone. I don't know the details, yet, on AT&#38;Ts warranty coverage. I'm pretty <i>darn</i> sure, any battery replacement
costs will be neglible, or none. It's interesting they didn't talk about GPS, and 3G upgrades (which I suspect will require a new purchase) as
legitimate points.<p><font color="blue">Currently available from only one operator in the U.S.</font>And? That's about all I can say
about this point, because it isn't even making one. Why is this a bad thing? If you cannot use AT&#38;T, we know you aren't going to get the
iPhone. It's almost as if they <i>are fishing</i> for excuses now.<p><font color="blue">An unproven device from a vendor that has
never built an enterprise-class mobile device</font> I suppose this is supposed to mean that a product, from a company who is
legendary for making well designed devices, cannot make a well designed device. ... Fine, I will devolve here ... that point is just plain
stupid. By the way, aren't laptops considered mobile devices?<p><font color="blue">The high price of the device, which starts at
$500</font> Why is the price considered high? It's not purely a phone. How much does a flash based iPod cost? How much does a
handheld computer cost? If you don't want to spend that much money, don't get it. We also know there are <i>plenty</i> of phones
that cost more. So what is the real point of the bullet. Oh, it costs 500$. Fine, but it's not stopping a lot of people from buying them.
<i>This is truly a strange bullet point from an Analytical firm</i>.<p><font color="blue">A clear statement by Apple that it is focused on
consumer rather than enterprise</font> And last, but not least, an kind of low. Gartner also, recently, issued a report that businesses
should look to satisfy, and implement their employees choices in consumer devices. Apples focus has always been on the person using
the device. In other words, the consumer. I wonder how they figured this as a negative point?<p><font color="red">Bottom-
line</font> Gartner is not correct.
Posted by Thomas, David (1947 comments )
Reply Link Flag
You're completely missing the point
You'd think that Gartner called your baby ugly. Gartner isn't saying the iPhone isn't secure, they're saying it won't work as well as other proven platforms in secure, enterprise environments.

Other platforms: Have you looked at the feature set on a BlackBerry with BES and Exchange lately? How about a Treo 700W with ActiveSync? Both provide wireless sync of e-mail, contacts, calendar and tasks. The iPhone will do e-mail only -- their is no means for syncing everything else, which is a big limitation compared to other platforms.

Many enterprise mobile platforms like BES and GoodLink allow for automated, remote backup of handheld data and forced deletion/disablement of the unit if it's lost or stolen. Backing up iPhones to desktops through iTunes over USB or Bluetooth is NOT an enterprise backup solution (especially since most enterprise businesses don't backup the desktops!!!), and the other security features aren't available at all on the iPhone.

Having to send the iPhone to Apple to replace the battery is more than a cost issue. What are enterprise help desks supposed to tell their power users when they're without their business-critical phone for a week or so? If the help desk could swap the battery locally, there would be no down time. With the iPhone, the user has to get a loaner with a different phone number (lame), wait for the battery replacement (extremely lame) or transfer their phone number and settings to a new device (time consuming and expensive).

Having AT&#38;T as the only operator precludes businesses from negotiating fair prices for iPhone service (due to a lack of competition) and it precludes enterprise customers who have strong relationships with other data-focused carriers (like Sprint) from making use of their existing partnerships. Lock-in eventually sucks, even with a good vendor.

As for a company who is "legendary for making well designed devices," that's mostly true for the consumer market, but not at all true for the enterprise market. Apple has failed miserably with several business-oriented products (Lisa, Apple III and Newton come to mind).

Lastly, the analysts point out that $500-600 is expensive for enterprises because they can't negotiate large scale discounts as they can on other corporate phones like Treos and Blackberries and most enterprise businesses don't pay for MP3 and video players since they're not commonly used in the course of business. The value of those add-ons, while fun for the user, may not be of value to their employer who is expected to pay for them.

If you can climb down from Mount Jobs and check out the view from the enterprise trenches, you might see that the iPhone, while a wonderful, innovative product, is not business oriented nor competitive with existing products when enterprise requirements are taken into consideration. Apple has been open about the fact that the iPhone is not made for business, so it's no surprise that it's purposefully not ready for the modern enteprise world at this time.

Why is all this so hard for you to accept? it sounds like you've never used or supported a full-featured BlackBerry with BES in an enterprise environment, or you'd know what the iPhone is missing in comparison.

-Mister Winky
Posted by Mister Winky (301 comments )
Link Flag
OS X is Unix
Due to the fact that the phone, is running Unix, you can run PGP on the email, which is more secure than anything that you guys, need.

Why are you putting down a device which is basically
a Virtual Computer. Fact is I have been an Apple Developer for 20 years, and they are not about to let a device go out the door and let all of their plans go out also. They have been ripped off too many times in the past, so this time they have kept it all close to the chest.
You must have shorted the stock, first you complained about battery power, even though there are so many ways to put power into an iPod (iPhone) same interface, thus, like the iPods, the iPhone does not need a removable battery.
The phone is a true 2007 device.
How about the fact that you will be able to make VOIP calls.

Email is not very secure unless it is encrypted. Better to use a Web Browser to a secure server. Or PGP on the email, which will work on the iPhone, there are already two beta versions of it.

So embrace, and welcome to the 21st century!

Take Care,

Bob Ball
Posted by ballomni (1 comment )
Reply Link Flag
VOIP Calls?
I really really really doubt that Apple will ever allow VOIP calls to be made on the iPhone. Why would AT&#38;T allow Apple to let their users to completely undercut their business model? Like it or not Apple *has* to keep the business needs of their cellular partners in mind.
Posted by rapier1 (2722 comments )
Link Flag
That's incredible
Not only have I never taken Gartner very seriously, not only they are mostly out of touch with real life IT management and administration, not only have they always had a bias towards Microsoft technology even when their product were clearly inferior and some even disappeared, but their worst trait is how they keep attempting to spread their erroneous comments in the news media. Not very serious business.

It's not worth the bother to answer every point they make in this article, as many are based on supposition and mistakes.

But what really gets me cross is that lazy managers will blindly follow these advice rather than do their homework.

iPhone is as secure as the network it is used on is.
iPhone has iMap/Pop capability and Exchange synchronization.
iPhone is not a 'mobile device' or 'business mobile' as these terms usually reference Windows device (hardly stable platforms, but that's the best we had until now), and Palm (who managed to get into the business world at first, even though the product was clearly inferior to today's iPhone). iPhone is a BRAND NEW DEVICE!
iPhone's storage capacity puts it into a league of its own as far as data storage and data exchange is concerned.
iPhone's applications are better suited to business and corporation management than any other phone/platform because they are simple, they save time, they are very visual.
iPhone's browser is the best for business use on a ultra portable device. Google has already started rolling out apps for it, and it can take any page without the need for WAP or dumbed-down pages.
iPhone does not use 3G. Serious businesses are rarely using 3G. They mostly rely on GSM, especially those that have a worldwide presence.

Last but not least, it's time for consultants to stop lying about consumer and entreprise. Entreprises are made of consumers. I have seen (and in some case helped prevent) corporations waste millions of dollars in projects that got no backing from users (consumers), or waste in training users for applications that should have been designed better. Apple is targeting USERS, whether home or corporate. It doesn't use a sneaky business model of creating versions for users and versions for business by hiding libraries or changing options. With Apple, if someone can use the product at home, that person can use the product in the enterprise.

Shame on you, Gartner!
Posted by jmdunys (49 comments )
Reply Link Flag
Links
For security and email:
<a class="jive-link-external" href="http://www.macuser.co.uk/macuser/news/118639/visto-promises-secure-corporate-email-for-iphone.html" target="_newWindow">http://www.macuser.co.uk/macuser/news/118639/visto-promises-secure-corporate-email-for-iphone.html</a>
For GSM/Edge and speed:
<a class="jive-link-external" href="http://www.pcpro.co.uk/macuser/news/118643/iphone-browsing-will-be-faster-than-people-have-read.html" target="_newWindow">http://www.pcpro.co.uk/macuser/news/118643/iphone-browsing-will-be-faster-than-people-have-read.html</a>
Posted by jmdunys (49 comments )
Link Flag
More links
Referenced in a previous reply, but worth indicating again:
<a class="jive-link-external" href="http://roughlydrafted.com/RD/RDM.Tech.Q2.07/34C8BD5D-E210-4A62-BE6F-FD21E046A397.html" target="_newWindow">http://roughlydrafted.com/RD/RDM.Tech.Q2.07/34C8BD5D-E210-4A62-BE6F-FD21E046A397.html</a>

Why apps are and will be better on the iPhone:
<a class="jive-link-external" href="http://roughlydrafted.com/RD/RDM.Tech.Q2.07/73805E44-AEF4-4F7F-BEF4-C759574D1D09.html" target="_newWindow">http://roughlydrafted.com/RD/RDM.Tech.Q2.07/73805E44-AEF4-4F7F-BEF4-C759574D1D09.html</a>
Posted by jmdunys (49 comments )
Link Flag
begging for iphones?
Check out the hilarious video of a guy begging on the street with his daughter for an iphone at <a class="jive-link-external" href="http://www.iphoneplease.com" target="_newWindow">http://www.iphoneplease.com</a> !
Posted by wonderosity (2 comments )
Reply Link Flag
or the direct iphone youtube video
is here....<a class="jive-link-external" href="http://www.youtube.com/watch?v=pIntjZqNuGU" target="_newWindow">http://www.youtube.com/watch?v=pIntjZqNuGU</a>
Posted by wonderosity (2 comments )
Link Flag
Sole source never bothered RIM.
The Blackberry is the darling of the business world and its one company, one proprietary tech, and one service. Talk about lack of choice?

Of course when does Gartner ever get anything right?
Posted by savagesteve13 (104 comments )
Reply Link Flag
This is misleading
Yes, RIM is a sole source provider for their network and their devices, but that's where the sole source ends.

RIM they offers a mature development platform which allows for 3rd party to be developed and remotely deployed on BlackBerrys.

RIM offers enterorise class integration software for MS Exchange and Lotus Notes for remote sync of data such as e-mail, calendar, tasks and contacts, as well as custom apps.

RIM offers a security suite for remotely deploying and managing devices (especially those that are lost and stolen) over a wireless network.

RIM controls the jewels of the platform to assure excellent connectivity, but they allow inroads to every major aspect that a company would need to deploy BlackBerrys to their staff.

-Mister Winky
Posted by Mister Winky (301 comments )
Link Flag
Nearly all pure crap - here's why:
[i]"? Lack of support from major mobile device management
suites and mobile-security suites[/i]"

...oh? And I suppose that all major CRM and ERP apps suddenly
lack a send-to-email or post-to-web function now? That's news.

"[i]? Lack of support from major business mobile e-mail solution
providers[/i]"

Instead, it uses the Internet without the need for any sort of
vendor lock-in. Oh noes!

[i]"? An operating-system platform that is not licensed to
alternative-hardware suppliers, meaning there are limited
backup options"[/i]

Man, THAT was convoluted... but then, OSX (the parent OS)
comes with its own IDE for free, its API's are all documented, and
wouldn't you know it? The mobile version comes with a whole
host of backup options.

[i]"? Feature deficiencies that would increase support costs (for
example, iPhone's battery is not removeable)[/i]"

...and now we're deep into to darkest FUD territory. How much
company support cost is there in dealing with busted
Blackberries? Busted Treos? That's what RMA's and 4-hour
support contracts are for, even at the enterprise level... idiots.

Oh - but the battereis are non-removeable!? Oh noes! (too bad
that removeable batteries are no big deal to a device with a
comparative insanely long battery life. Cripes - I remember my
last cell phone and buying a 2nd battery for it... never had to use
the thing, and never had to remove the original one from it).

"[i]? Currently available from only one operator in the U.S.[/i]"

Microsoft Exchange is currently available from only one vendor;
so when will we see Gartner advocating that enterprises shy
away from Exchange?

[i"]? An unproven device from a vendor that has never built an
enterprise-class mobile device[/i]"

With warranties, support contracts, and this little thing most
enterprises use called a "pilot program", where is the relevance
in this balderdash?

Oh - and when Microsoft comes out with their version, will
Gartner be saying the same thing? I'm thinking "Hell, no".

"[i]? The high price of the device, which starts at $500[/i]"

...and? We're talking about corporations that happily blow five
figures on new, unproven server or network hardware because
they think it'll up the quarterly bottom line by a percentage
point.

"[i]? A clear statement by Apple that it is focused on consumer
rather than enterprise[/i]"

Finally! Something with a kernel of truth in it!

('course, no smart enterprise would ignore a potential new and
valuable tool just because it's 'only' a 'consumer product'...)

/P
Posted by Penguinisto (5042 comments )
Reply Link Flag
MS Exchange support for iPhone
MACNN:

IceWEB today announced that its hosted Microsoft Exchange subscription service now supports Apple's iPhone, enabling corporate customers to access company Exchange email systems via their new Apple-branded cellular handsets. IceWEB has worked for months to position its IceMAIL service to fully support the iPhone, which should ease the fears of potential business customers who were rumored to shun Apple's handset due to a lack of interoperability with existing corporate mail systems. IceMAIL enables small and medium business customers to continue receiving hosted Microsoft Exchange email on most smartphones and eases the process of iPhone adoption for businesses fearing complications with the new device. IceMAIL is available from $8.50 per month.

MACWORLD:

IceMail offers hosted Exchange e-mail for iPhone
By Peter Cohen

IceWeb is offering users a 30-day free trial of IceMail for iPhone. IceMail is a hosted Microsoft Exchange e-mail subscription service.

IceWeb chairman and CEO John R Signorello said that his company?s efforts have been made to make sure that iPhone users have access to an Exchange-based e-mail system even without requiring any infrastructure changes to a corporate IT environment.

?There has been much press regarding how the iPhone might be ?shunned? by enterprise email users because of the lack of perceived compatibilities with Microsoft Exchange implementations. We?re working to ensure this will not be the case,? he said.

There have been rumors that Apple will offer some sort of Activesync connectivity for the iPhone ? Activesync is the push synchronization technology from Microsoft that allows e-mail, contact and calendar sync with Exchange. If this ultimate proves correct, IceWeb plans to offer that capability to iPhone users as well, included with the IceMail subscription.

IceMail service starts at $8.50 per month.
Posted by Llib Setag (951 comments )
Reply Link Flag
 

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