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2014/05/19

| 05.19.14 | Enterprises are embracing BYOD, despite security risks and support costs

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Today's Top Stories:
1. Enterprises are embracing BYOD, despite security risks and support costs
2. Italy probes Apple, Google and Amazon over 'free' mobile games
3. Mobility will be key to AT&T's $49B acquisition of DirecTV

News Scan:
FCC probes mobility, net neutrality nexus
Microsoft loses $1.2B on Surface, more

Also Noted:
Geotargeting drives brand engagement; Field service workers love their iPad; Much more...

News From The Fierce Network:
1. Half of world's population headed for the cloud
2. Female CIOs want bigger budgets, more female CDOs
3. IT's Hottest Jobs: Information Security Architect

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May 19, 2014

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> eBook: eBrief | Best Practices in Mobile Application and Management Delivery
> Whitepaper: APIs Drive Opportunity Explosion
> Whitepaper: Supporting VDIs and Thin Clients
> Whitepaper: Four Ways to Improve IT Efficiency

Today's Top Stories

1. Enterprises are embracing BYOD, despite security risks and support costs

By Fred Donovan Comment | Forward | Twitter | Facebook | LinkedIn

While BYOD was originally viewed as a cost saver for enterprises, it has often resulted in greater expenses--particularly from the added management, support and security required.

Gartner forecasts that supporting BYOD will cost enterprises $300 per employee annually by 2016.

Despite these additional costs and security risks, many enterprises are "embracing" BYOD, observes David Lowe, vice president for enterprise sales at Samsung Telecommunications America. In an exclusive interview with FierceMobileIT, Lowe relates how many of Samsung's enterprises customers have gone 100 percent BYOD.

Samsung has introduced a number of security measures to reassure customer concerns about BYOD, particularly given the dodgy security reputation of the Android platform. Some see these products as part of Samsung's effort to gain advantage over Apple in the race to replace BlackBerry in the enterprise.

FierceMobileIT: How do you see BYOD impacting the enterprise in the next couple of years?

Lowe: I'm out talking to customers every day ... A pretty consistent theme is BYOD is growing much faster than corporate liable. Customers that historically have never had BYOD before are now embracing it. We are seeing customers moving completely away from corporate liable and legacy devices into 100 percent BYOD. We are also seeing hybrid models. It runs the gamut. The enterprise challenge for BYOD is what do you support? Do you just open the doors wide open and support everything? Do you let in only a small number of devices? Do you have a hybrid model? Enterprises are embracing BYOD very differently.

Samsung's SAFE platform has had a huge impact on BYOD. It has enabled enterprises to embrace Android much more confidently than they have in the past. The problem with the Android operating system is that it is fragmented; there are so many different versions of Android; each device is different. How do I create a BYOD policy around that without having to certify every single device when it comes out? SAFE gives them a way to do that. If I certify on SAFE one time, I can support any device that comes out after that ... Knox makes that even stronger.

So now if I support Knox I can tell my users to go purchase a Knox-enabled device. Knox works for the IT organization who now says, "I can put all of my corporate data inside that Knox container and I can manage that data effectively and deeply. So I can have complete confidence in that. Then, I can leave all the personal stuff alone." It works the same way on the other side. If I am the person using the device, I can now have confidence that I can do whatever I want on the personal side and I'm not subject to the prying eyes of my IT organization. So it feels more like two devices on one. I know that my personal photos, text, whatever websites I visit, can't be seen by IT. The stuff in the secure container is all corporate stuff.

Another thing that is important is the experience. Part of the problem with the containers on the market today is the user experience. It's not seamless. The experience inside the container is very different from the native experience on the device. By creating a container solution that is built natively on the device, the Knox experience is exactly the same whether inside or outside the secure container--that means adoption is going to be easier and better and satisfaction on the user side is going to be much higher as well.

FierceMobileIT: What is the essential difference between SAFE and Knox?

Lowe: SAFE was essentially our first step into enterprise security management. It was a designation that the device you are holding is enterprise grade. It addressed the fundamental table stake requirement that an enterprise needed to feel confident that that device was supported in the enterprise. So that included things like Exchange ActiveSync support integration. We support 100 percent of all the Exchange IT policies, so you can have a much better email experience, MDM integration, so I can integrate well with all the MDM products. In addition, device encryption is supported so that any data on the device is encrypted and lastly it could support VPNs [virtual private networks]. So that was good for most of the market.

But for our most regulated customers in financial services, government and military, they needed a more robust security solution. So Knox is a complete holistic security framework that is built from the hardware level all the way up through the user experience. It starts at the hardware level where the certification key is burned into the device, tying that device at a hardware level to a Samsung operating system. When you boot up the device, it's looking for that key. If it doesn't find it, the device won't boot. So you know at the basic level, the device cannot be rooted. From there, it goes up through the kernel using TIMA, which stands for TrustZone-based Integrity Measurement Architecture, which is constantly monitoring the kernel for any malicious activity.

On top of that there is the operating system level, where we have used SE [security enhancement] for Android, which protects the operating system against any malicious activity. Then you work your way up to the user experience where you have the container. So where SAFE was a designation, Knox is truly a solution that is built into the device.

FierceMobileIT: Has there been any rethinking among CIOs and IT departments regarding BYOD, given the costs of security systems and IT support?

Lowe: Actually, I've seen them embracing it more. I see them recognizing that there are enough tools out there that allow them to manage the devices. At the end of the day, the IT organization wants to manage the mobile devices the way they manage all the other IT assets in their organization. So to the extent that they can utilize existing tools and extend those to mobile devices, that is enabling them to embrace BYOD.

Read the rest of the Q&A with David Lowe--including translating Android's popularity to the enterprise, the next 10 years in BYOD and more--at the FierceMobileIT website


Related Articles:
BYOD users hide security incidents
No one-size-fits-all solution for BYOD policies, panel reveals
BYOD security: Not my job, say many employees
Apple keeps pace with Samsung in enterprise mobility initiatives
Samsung ramps up efforts to gain enterprise mobility market share

Read more about: corporate liable devices, BYOD
back to top


This week's sponsor is CA Technologies.

Webinar: Rethinking Enterprise Mobility Management – Beyond BYOD
Thursday, May 29th, 12pm ET / 9am PT

Our panel of experts will help you understand how to develop effective strategies that accelerate mobility transformation and prepare your organization for the mobile future. Register Today!


2. Italy probes Apple, Google and Amazon over 'free' mobile games

By Fred Donovan Comment | Forward | Twitter | Facebook | LinkedIn

Italy's antitrust and competition authority is investigating Apple, Google, Amazon and French game developer Gameloft for unfair commercial practices regarding their "free" mobile games, which use in-app purchases to generate revenue.

The Italian regulator is probing whether the companies are misleading consumers by advertising their mobile apps as free when in-app purchases are required to continue playing the games beyond a certain point.

"The probe will verify whether the conducts can be regarded as unfair commercial practices: consumers could falsely believe that the game is entirely free and, in any case, that they would know in advance the full costs of the game. Moreover, insufficient information seems to be provided to consumers about the settings needed to stop or limit the purchases within the app," the regulator said in a statement.

A spokeswoman for the regulator told Reuters that the investigation would likely be concluded within seven to eight months. The maximum fine per company would be €5 million ($6.9 million), she noted.

In January, the U.K.'s Office of Fair Trade issued final principles directing mobile game developers to tell consumers "upfront" about costs associated with "free" games. "The principles also make clear that in-game payments are not authorised, and should not be taken, unless the payment account holder, such as a parent, has given his or her express, informed consent," OFT said in a release.

In March, the European Commission launched an investigation into whether developers of "free" mobile games where misleading consumers, especially parents and children, about the potential costs and advertising associated with the games.

For more:
- see the Italian antirust regulator's release
- read the Reuters report
- check out the OFT release

Related Articles:
Fees for downloading mobile games will disappear, predicts EA
Candy Crush takes mobile gaming crown from Angry Birds
Apple to refund $32.5M to consumers

Read more about: Amazon, Apple
back to top


3. Mobility will be key to AT&T's $49B acquisition of DirecTV

By Fred Donovan Comment | Forward | Twitter | Facebook | LinkedIn

Mobility will be a key aspect of AT&T's $49 billion acquisition of satellite TV provider DirecTV, company executives said during a conference call about the transaction on Monday.

Randall Stephenson, chairman, president and CEO of AT&T, explained that the transaction "gives us the opportunity to lead the way and to redefine the video entertainment for the mobile and high-speed world. That includes delivering content to consumers across multiple screens--mobile devices, TVs, laptops, the back-seat displays of connected cars and even airplanes."

Stephenson added, "We have been working on changing our wireless architecture to be able to carry video ... The next six years are going to be about delivering video over these [mobile] networks. This is the key rationale for trying to do something with DirecTV." He said that it would probably be between 12 to 18 months before "robust" mobile video offerings will be available.

Michael White, chairman, president and CEO of DirecTV, said that the combined companies "will bring new innovations to market, including a wide array of satellite, mobile and broadband services--think mobile video and over the top."

According to the agreement approved by the companies' respective boards on Sunday, AT&T will pay DirecTV shareholders $95 per share--$28.50 in cash and $66.50 in AT&T stock. This would be a 30 percent premium on DirecTV's closing price of $73.17 on March 25, 2014, before rumors circulated about the possible merger.

Stephenson stressed that the proposed acquisition of DirecTV will not affect his firm's plans to participate in the FCC's upcoming AWS spectrum auction later this year and the mobile broadcast spectrum auction next year.

"We think both of these auctions are going to be very important to the industry. We have structured this transaction in a way that ensure we will have plenty of capacity to be very active in both of those auctions ... [Our plans with DirecTV] are going to require significant blocks of contiguous spectrum."

The deal still faces regulatory approval.

For more:
- check out the conference call (reg. req.)
- see the AT&T-DirecTV release

Related Articles:
Mobile broadband spectrum auction rules issued
DirecTV adding voice search to Android, iOS apps this summer

Read more about: AT&T
back to top


Also Noted

TODAY'S NEWS SCAN...

>> FCC seeks comments on net neutrality and mobility

The Federal Communications Commission is asking for public input on the implications of net neutrality rules for mobile, reports Mobile Marketer. "The FCC is in a really tough spot dealing with just what's on its plate to try to pull mobile into the equation right now ... Competitive forces could help enforce non-discrimination in mobile in ways it can't in fixed where there are sometimes only one or at most two broadband carriers in a market," Rich Karpinski, senior analyst with the Yankee Group, tells Mobile Marketer. The FCC is particularly interested in public comment on whether its no-blocking rule should continue to make a distinction between fixed and mobile broadband, the report notes. Read more

[More on the FCC: Federal regulators clamp down on mobile firms | FCC okays T-Mobile-Verizon spectrum deal]

>> Microsoft loses $1.2B on its Surface tablet so far

Microsoft has lost $1.2 billion on its Surface tablet, Computerworld reports. This figure includes a $900 million write-down for Surface and a $300 million loss from the third quarter of 2013. On Tuesday, Microsoft CEO Satya Nadella is expected to unveil new Surface tablets and possibly a revamped tablet strategy to get Surface out of the red. "Although Microsoft has been parsimonious in the details it declares of the Surface's financial performance, the business has clearly been a money pit," the report notes. Read more

[More on Surface: Microsoft snubs channel partners in Surface deal with Delta | Surface comes up for air]

>> Groupon unveils iPad-based POS system called Gnome

Online coupon firm Groupon has unveiled an iPad-based point-of-sale system called Gnome, which is integrated with Groupon's infrastructure, AppleInsider reports. Consumers with the Groupon app on their smartphone will be recognized when they enter the store, allowing them to redeem coupons automatically. The system also functions as a standalone POS system able to process transactions with cash or payment card. Read more

[More mobile POS: Apple, Google mull Square buy | Retailers using mobile checkout will have happy holidays]

>> EMM vendor Good Technology files for $100M IPO

Enterprise mobility management firm Good Technology has filed for an initial public offering with the Securities and Exchange Commission. The number of shares and the price range have not been determined, the company said in a release. Reports indicate that the IPO could be worth $100 million. Morgan Stanley, Barclays Capital, Merrill Lynch and Citigroup will act as joint book-running managers for the offering, while Oppenheimer will act as a co-manager. Read more

[More on Good: Security tops enterprise mobility worries | Enterprises are aggressively firing up mobile apps, says Good]

>> Phablet users' consume media differently than smartphone, tablet users

Phablet users' media consumption habits differ from smartphone and tablet users, according to a study by Opera Mediaworks. Social networking is the top category for phablet use, 54 percent of impressions, compared with just 27 percent of impressions for all mobile devices. Phablet users' consumption of sports and news is low compared to smartphone users. Tablets still outpace tablets when it comes to consumption of games and music, video and media. Read more

[More on phablets: Rumor mill: Apple iPhone 6 could be coming this summer | Competing technologies push IDC to lower tablet forecast]

Geotargeting drives brand engagement
>> Geotargeting drives key brand engagements even when stores are closed (Mobile Marketer)

Field service workers love their iPad
>> Why field service workers love their iPads (InfoWorld)

Enterprises mobility is flailing
>> Enterprise mobility is flailing. Maybe it's time to drop the do-it-yourself approach. (GigaOm)

Local search nearly universal
>> Local Search Near Universal Among Smartphone Users (eMarketer)

Anonymous app Whisper is not one-size-fits-all
>> For the First Time, Anonymous App Whisper Is Not One-Size-Fits-All (Re/code)

Social Scan:

Facebook working on video app to take on Snapchat - http://t.co/uXn49SGPQO http://t.co/kv6ozkxsHj via @FT

Google's New Fashion-Savvy Exec Can't Fix Glass' Biggest Flaw | WIRED http://t.co/bYiENNQh8n #WearableTech #QuantifiedSelf

Are iPads Making the Grade on College Campuses? - http://t.co/ZWQbyGM9UY http://t.co/Sw3HZwKLkR

And finally... Solving Google Doodle Rubik's Cube (Brian Shipman)

Webinars

> Rethinking Enterprise Mobility Management - Beyond BYOD - SPONSORED BY: CA Technologies

Enterprise mobility management is about more than just getting handle on the flood of BYOD devices coming into the organization. It is about managing the explosion of new devices, applications, content and transactions, which threatens to overwhelm IT managers. Our panel of experts will help you understand how to develop effective strategies that accelerate mobility transformation and prepare your organization for the mobile future. Register Today!

> Developing for the Internet of Things: Challenges and Opportunities - Wednesday, June 18th, 2pm ET / 11am PT

Cisco estimates that 50 billion devices and objects will be connected to the Internet by 2020. Will there be a role for developers in this area? And if so, how can developers position themselves in the months ahead on this nascent but potentially explosive opportunity? Register Today!

Events

> Becoming an agile, super-effective business - June 2-5 - Nice, France - Sponsored by: TM Forum Live!

Examine ways to gain an edge by employing agile methodologies and cloud-based services with presentations from; Century link, Microsoft, DGIT, Gartner and more. Save up to $400 on a gold pass when you register with voucher code PW3DA2!

> Super Mobility Week - September 9 ? 11, 2014 - Las Vegas, NV

Super Mobility Week powered by CTIA is North America's largest forum for the mobile innovations that power your connected life. Thousands of mobile professionals and executives, 1,100+ exhibitors, as well as 1,000+ media and analysts from across the globe will gather in September for this event. Learn more at www.supermobilityweek.com.

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> Whitepaper: 802.11ac in the Enterprise: Technologies and Strategies

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