Friday January 27, 2012
 

Android May Have Consumer Market Share, But iOS Is Tops In Enterprise

Top 10 Device Q4 v3

According to a new report from managed enterprise mobility provider Good Technology, iOS devices (iPhones and iPads) hold the top three spots in the list of the top 10 enterprise activations by device type. The report includes data gathered by Good for Q4 2011 and includes half of the Fortune 100, providing insight into enterprise activation trends among some of the world’s biggest businesses.

The company found that despite Android’s overall market share growth and steady absolute growth among Good’s customers, only 35% of all smartphone activations were on Android, compared with iPhone’s 65%.

The mid-October release of the iPhone 4S helped that particular device quickly earn the number one position on the top 10 enterprise activations list, with the iPhone 4 moving into spot #2. The iPad 2, meanwhile, claimed the third position.

Since there are far more Android devices than iPhone models, it’s not as fair to compare trends on a device-by-device basis. After all, there’s aren’t just a couple models of Android phones out there – there are dozens upon dozens of “top” (popular) devices.

However, even when looked at as a whole, Android activations accounted for just 35% of the smartphone activations and only 6% of tablet activations. The Samsung Galaxy S II was the top Android device at spot #6 and was followed by the Motorola Droid Bionic, the Motorola Droid 3, Sprint EVO 4G (Q3′s most popular Android device) and the Motorola Droid X2. Motorola phones were popular over the course of the past year, too, and were represented in the top 10 each quarter.

Good does note that iPhone activations had slowed in the previous quarter, in anticipation of the new iPhone, then jumped significantly after its launch, with 31% of smartphone activations from that device alone. But collectively, iOS devices accounted for over 70% of all activations in Q4, an indication that enterprise customers’ iOS preference wasn’t just being boosted by the iPhone 4S launch. iOS is the preferred choice in the enterprise, Good says.

On the tablet front, iOS’s domination is even more apparent – the iPad and iPad 2 account for 94% of the total tablet activations in Q4, compared with 6% for Android tablets, where the Galaxy Tab leads the pack. iPads were most popular in three industries: financial services (accounting for 42% for the quarter), business/professional services and life sciences.

Going into Q1 and Q2, Good says that it expects iPad and iPad 2 activations to slow heading into March, as customers prepare for the (rumored) launch of the iPad 3. It also expects Android activations to increase on a relative basis after the immediate impact of the iPhone 4S lessens and as BYOD (bring your own device) programs become more common.

However, says John Herrema, Senior Vice President of Corporate Strategy at Good, the company expects the iOS/Android numbers to be roughly the same during the first half of 2012 as they are now. A change would require a major shift in tablet trends. “I don’t see that happening with the iPad 3 on the horizon,” says Herrema.

“If Android and iOS split smartphone [market share] or even if Android takes the overall smartphone lead, it would still likely be no more than 40% of all Good activations overall, given the dominance of Apple on tablets and the large numbers of tablets we are activating. Meanwhile, I don’t see Android dropping substantially below where it is now because that would require major shift among BYOD smartphone users.”

We should note that this report does not look at RIM devices or Windows Phone, as Good doesn’t have insight into these platforms. This is only a comparison between the iOS/Android adoption rates in the enterprise, which by itself, limits itself to enterprise environments where BlackBerry has already fallen from favor.



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Big VCs Invest In Big Data Startup Continuuity

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Venture capital firm Battery Ventures this morning announced that it has made an investment in Continuuity, a stealth ‘big data’ startup founded by Battery entrepreneur-in-residence Todd Papaioannou (formerly VP and Chief Cloud Architect for Yahoo).

Andreessen Horowitz, Ignition Partners and a group of angel investors including Bob Pasker, Paul Ambrose, Matt Ocko and The Data Collective also participated in the round.

It’s unclear what Continuuity is building, and the press release makes us none the wiser:

Continuuity’s goal is to enable the development of the next wave of real-time Big Data applications.

Ok then. Here’s a recent video interview of Papaioannou talking about trends in big data:




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Guidewire Hits The Public Market Running; Shares Jump 30% In Early Trading

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While there were some big IPOs in 2011, Zynga and Groupon among them, overall it was a disappointing year for IPOs. Will 2012 be any different? As the first tech IPO of the new year, Guidewire Software certainly hopes so. Back in September, the insurance software company joined MobiTV, Angie’s List, Brightcove, and Jive, filing its S-1, announcing plans to raise up to $100 million and to sell approximately 7.5 million shares at $10 to $12 per share, in advance of its IPO on the New York Stock Exchange.

Guideware ended up exceeding its initial targets, pricing its IPO yesterday above its target range at $13 a share, selling 8.85 million shares and raising $115 million. The company has officially begun trading on the NYSE this morning under the symbol “GWRE” — after granting underwriters a 30-day option to purchase up to 1.3 million additional shares of common stock to cover over-allotments, if any — and again proceeded to beat expectations. Guidewire stock jumped to $16.75 upon its first trade, up 29 percent. Since, it has gone as high as $18, and currently sits at around $17.25 per share.

Founded in 2001, the San Mateo, California-based company is a software vendor for insurance companies that provide property, casualty and workers compensation to their customers. The company offers a web-based claims system that supports personal, commercial, and workers’ compensation insurance, and enterprise app for coordinating and executing transactions, as well as underwriting and policy administrations systems for these carriers. In other words, Guidewire has sought to enable insurance companies to replace their core legacy systems and automate their businesses through web-based software.

After struggling through not-so-profitable early years, the software company managed to turn a profit in the last two years, seeing its first quarterly profit in 2010. In fiscal 2011, revenues rose to $172 million, with the company seeing a net income of $35.6 million compared to $15.5 million in fiscal 2010 — although current financials are not as strong, as revenues have been on the decline in recent quarters.

That being said, sales increased 51 percent to $52.4 million in the most recent quarter, perhaps due to a loyal customer base, as Chief Executive Marcus S. Ryu told the WSY, “No customer has ever left Guidewire. That gives us a lot of security, and allows us to plan our budgeting and investing.” (Check out The Deal Pipeline’s interview with Ryu this morning here.)

While the company counts more than 100 customers, including major insurance companies like Nationwide, CNA and American Family Insurance, Guidewire believes that the available market for their software is far bigger. Gartner, for example, found that insurance carriers spent $4 billion on software and $10.5 billion on IT services in 2010, and many of those are still using outdated technology systems.

And in another good sign for Guidewire, according to the Wall Street Journal, two of its leading investors, U.S. Venture Partners and Bay Partners, have indicated that they are not interested in selling, but buying more stock — as many as 400,000 shares of common stock at its IPO price. (The WSJ actually reported that Battery Ventures, another of the company’s investors, has purchased an additional 400,000 shares of common stock.)

The company is seeing some strong adoption of its software, especially its claims system, and both profits and sales are on the rise. Thus, the immediate outlook for Guideware seems positive, so keep an eye on its stock this week — it, too, may be on the up-and-up.

And just in case you want to see a bunch of people clapping:



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EU’s Proposed Data Laws Can Only Produce One Thing: Outsourcing User Data

OnesAndZeros

In 2011, Sony had several major security breaches: Sony Online Entertainment, Sony Pictures, and Playstation Network all were attacked and private data was successfully stolen. Their handling of the attacks, particularly the larger PSN one, was widely criticized.

Many users are either unaware or acutely aware of how many sites and services have financially or personally sensitive information on record. Events like the Sony hacks do not reassure them, and actions like Google’s yesterday (though arguably innocuous) may alarm them. Users want more control and more security.

And the EU is looking to give it to them. But with the threat of enormous fines, many companies will find that the most logical thing to do is move away from the entire business of storing and serving user identities.

It’s a simple fact that maintaining a database of a hundred thousand or a million (or far more) active users is a serious engineering problem in both software and hardware. Keeping things secure but still accessible, staying abreast of new regulations (like those proposed in the EU), providing localized support on billing and user data issues — it’s quite a task. Web enrollment in software and services is growing at a huge rate, and many products and “real” items such as cars and banks are increasingly reliant on online services as well. It’s been happening for a long time, sure. But the stresses are starting to get out of hand.

If you’re a car company, or a movie distribution service, or a game publisher, the process of keeping and tracking your users securely is becoming too great of a portion of your business. And with increased regulation and requirements like the EU’s (which some are calling “onerous” and a “tax” on businesses that keep electronic records, but are probably nevertheless inevitable), it’s not something on which they can get by with minimal effort.

So what will happen? The same thing that happens whenever a part of an industry begins to outgrow its role: new, dedicated companies sprout up and the world offloads the task onto them.

This already happens to some extent, of course. It’s not like every company in the world maintains an independent and proprietary database of its users. There are services and software for this purpose, and the user-management business is plenty real already.

But for the millions and millions of people and accounts still internally managed (numbers that are growing worldwide in any market you can think of as online services gain more traction), the situation no longer makes sense. Why should a company that runs a movie distribution service also be running a world-class user-management service? It doesn’t make any sense. It’s like a restaurant making its own forks.

It was logical for a while that data related to Sony services should reside on Sony servers, administrated by Sony. But in a day where our logins transcend sites, and everything we do is personalized, that no longer really rings true — to Sony, that is. Regular humans want to go to a site, put in their user name and password, and have their data retrieved. They don’t really care if the data is served by Sony or a third-party site because it’s never said one way or the other.

But for Sony and companies like it, the increasingly expensive and complicated user-management part of their business is starting to look like an attractive target for spinning off to third-party services. And third-party services are going to start revving their engines to attract these user-weary multinationals. This doesn’t apply to services like Instagram and Spotify, naturally; they’re account-focused to begin with.

It will be much easier for a company built from the ground up for user databases to handle these requirements and adjust to local laws. They can do it faster, better, and cheaper than an internal team, and compete directly with each other. It’ll be good for the user data sector and good for the multinationals hoping to offload this burden. Not to mention good for the users: the EU regulations require fast turnaround on data, instant notification of security breaches, and impose heavy fines for abusive or neglectful companies. Sony wants to worry about the quality of its games and devices, not about whether each of its 20 internal user-tracking divisions is jumping through legal hoops.

Secure account management isn’t the most exciting business, but you better believe it’s going to show some serious growth over the next few years, and everyone will gain by it.



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TIBCO Updates Social Enterprise App Tibbr With Geo-Location Features

tibbr

Enterprise software company TIBCO is debuting a new version of its Yammer-clone Tibbr today. The newest version of the company’s social communications app includes geo-location capabilities called Tibbr GEO, which integrates the ‘check-in’ model in the enterprise.

By incorporating location into Tibbr, the service wants to physical places into data hubs that can immediately stream important insights relevant to that specific place. Tibbr GEO gives companies the ability to tag important places, whether in the enterprise or as part of the extended enterprise. As Tibbr users approach these places, they’re automatically presented relevant in-stream information.

For example, Tibbr says the geolocation feature could turn a gate into a contextual relevant data hub to give agents, pilots and flight attendants insights as they approach the gate. Or the section of every retail aisle could include data on individual shelf space, insights about individual products, how they’re selling, how fast they’re moving or how a new location might be affecting sales.

Tibbr Mobile applications now use HTML5 to deliver users a consistent mobile experience across all platforms and has also been updated to support offline access.



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Rising Telecommuter Numbers Worldwide Form A Notable Trend

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A new poll of over 11,000 workers worldwide by Ipsos and Reuters shows that telecommuting is an increasingly popular choice, especially in non-Western countries. This will come as no surprise to many, but the numbers are higher than some might have guessed. Over 30 percent of workers in India, Mexico, and Indonesia claimed to telecommute regularly, and one in ten overall work from home every day.

It’s tempting to call any work that can be done via telecommute “knowledge work” or the like, but there isn’t enough of that to create these kinds of numbers. The internet has been so incredibly enabling in so many different ways that to limit it to such a narrow category is shortsighted. Many are doing web design or creating product themselves, certainly, but many are also managing entire “virtual” businesses, handling email chains with the Chinese manufacturers on one end and the Singapore design guys on the other, or keeping track of orders and customer queries via an online clearing house. There is very little that can be done in an office that must be done in an office, and worldwide in developing markets the cost savings of that fact are being welcomed with open arms.

Interestingly, it is in already-productive countries like Germany, Sweden, and Japan that telecommuting is viewed with suspicion. On one hand it is surprising: these highly wired and progressive countries are welcoming of technology in so many forms that it seems unlike them to reject it in this one. But part of their success is in their social infrastructure: cities, factories, offices, large companies in business for decades or even centuries. Telecommuting makes labor unit-based and decentralizes, preventing the kind of top-down regulation that they feel (and are certainly justified in feeling) has contributed so much to their prosperity.

The personal benefits and professional problems with telecommuting were not ignored: 65 percent of those polled felt that telecommuting allowed them to be more productive because they have more control over their work life. But 62 percent found it “socially isolating” and worried that lack of face time at the office would lessen their chances of promotion.

As a telecommuter myself, I am concerned more with the lack of infrastructure in place to deal with significant numbers of critical telecommuting employees. Just try to record a Skype video conversation between a three or four people, or give a presentation to 100 off-site employees and 200 on-site ones. There are solutions, of course, but many are expensive and industrial-size, requiring special equipment and software from Cisco or another enterprise enabler. Companies like Boeing may have settled the global collaboration problem, but what about a 12-person operation spread across Europe and Canada that makes camera accessories?

Just as services have enabled one relatively tech-naive person to become an online business (and continue to do so), new services over the next few years will have to focus on repairing the natural loss that occurs when your employees are never physically near each other. The numbers, as shown by the huge numbers in emerging markets, are huge and getting bigger, and the big money in established countries is still waiting for the right moment to jump in. Collaboration tools and startups have been big at Disrupt and other showcases, and for good reason. The next ten years of global productivity are going to be driven by them.



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Mykonos Helps Companies Battle Hackers, Raises $4 Million

mykonos

Mykonos (the security software company, not the lovely Greek island) has secured $4 million in a Series A funding round led by previous backer Tom Golisano, founder and chairman of Paychex.

New investors include Ironport founder Scott Banister, Jeff Clarke (executive chairman of Travelport, chairman of Orbitz and board member of Red Hat) and Mike Jones (founder and CEO of Clover Capital).

Mykonos’s Web Security product uses deception to “detect, confuse, slow down and prevent attackers” in real-time in order to help companies protect their websites and Web apps from malicious hacker and proactively prevent fraud and theft.

Just recently, the company moved its headquarters to the heart of Silicon Valley – they also have offices in New York.



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Cloud Computing Software Company Joyent Raises $85 Million To Pursue Global Growth

joyent

Cloud computing software and service provider Joyent has secured an $85 million round of new funding, the company is announcing today. The round was led by European group Weather Investment II. It also included Telefónica Digital, the growth arm of global telecom giant Telefónica, which participated as a strategic investor.

Weather II is a strategic shareholder in telecommunications companies. Most notably, it holds a 20% stake in Vimpelcom, the world’s sixth largest mobile telecommunications group by subscribers. Joyent states that Weather II was advised in the round by investment and management group Accelero Capital. Both Weather II and Accelero focus on telecommunication and related media and technology companies in telecom and enterprise markets.

“We are delighted to make this strategic investment in a company that is providing solutions to some of the toughest problems in cloud computing, such as cloud performance, resiliency and security,” said Khaled Bichara, co-CEO of Accelero Capital.

Meanwhile, Matthew Key, Chairman & CEO of Telefónica Digital praised how Joyent’s technology would fit perfectly with technologies it has developed in-house and its own cloud services model.

Joyent’s cloud software suite SmartDataCenter is used by developers and enterprises worldwide. With JoyentCloud.com, the company provides public cloud services to a number of well-known companies, including LinkedIn, Gilt Groupe, Dell and Kabam. It’s also the steward of the open source server-side JavaScript project Node.js, a runtime for developing data-intensive, real-time apps, and a contributor to Joyent SmartOS, an open source project which powers the commercial software SmartDataCenter.

According to David Young, CEO and founder of Joyent, the new funding will enable Joyent to “build out a global compute offering to assist customers in expanding consistent software, support and services to their clients.”

Throughout 2012, Joyent plans to roll out a collection of “seamlessly connected high performance clouds” serving global corporations on every continent, the company says.

The San Francisco-based company had previously raised $5 million in September, which brought it close to $30 million total. The company’s existing investors include El Dorado Ventures, Epic Ventures, Greycroft Partners, Intel Capital, and Liberty Global.



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Nimble Goes After Salesforce, Wants To Be The “Pandora Of Contacts”

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Jon Ferrara thinks Salesforce is doing it wrong when it comes to social. The founder of Goldmine, a CRM company he sold for $100 million nearly a decade ago, is attacking the market a different way with his latest startup, Nimble. “We are effectively Salesforce but social,” he says, taking a jab at what is now the 800-pound gorilla.

Salesforce would counter that it has Chatter and Radian6, but punching up is always a good way to get noticed (just ask Marc Benioff, who became a billionaire tussling with Microsoft and Oracle).

“We have spent time interviewing their dev team,” says Ferrara. “A lot of the stuff they are talking about, they don’t have. Even if they were to build a product, their margins are razor-thin and they are getting hammered.”

Not only is Ferrara talking to Salesforce’s dev team, he just hired away the product director who made Chatter Mobile, Jason McDowall, who will now head up the team building Nimble’s mobile apps.

Nimble isn’t going up against Salesforce head-on. That would be stupid. Instead, it is trying to nail the social component of business communications. Nimble is an enterprise social platform built around contacts, calendars, and communications (both internal and external). It ties together email with social streams (Twitter, Facebook, LinkedIn) and puts it all into one interconnected database.

“CRM tools are not about communications,” says Ferrara. “It is a management tool, a way for managers to keep a hand around the neck of managers. CRM doesn’t tell you anything, you have to tell it everything.”

A better way to think of Nimble is as a social contact and communications database which ties into other enterprise and social services. Today, it pulls in messages from Gmail, Twitter, LinkedIn and Facebook. With its next release, it will pull integrate with HubSpot (which turns website visitors into sales leads), Infochimps (datasets), and WuFoo (online forms).

The list of planned integrations includes Get Satisfaction, Yammer, Zendesk, Assistly, Quickbooks, and Freshbooks.

The more data Nimble can ingest about your customers, the more it can do with that data in the future. Ferrara’s goal is to make Nimble the “Pandora of contacts”—you put in two names, and it will spit put other contacts like those people. It will ingest your company’s social graph and tell you who you are close to, who is slipping away, and who you should be talking to that you are not.

For Ferrara, this goes way beyond CRM. “Hiring a social media person for the company won’t work,” he says. “The conversation is so vast everyone needs to be a part of it.”

Ferrara built Nimble with $2 million of his own money and 20 developers over two years. He just recently raised a $1 million seed round from Mark Cuban, Google Ventures, and others.

Nimble is still in beta and about to roll out a major upgrade in February which it will start charging for (first 500 people to register here will get 90 days free).



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Cyber Security Startup AlienVault Nabs Seven Senior HP Security Execs

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In September 2010, HP acquired Fortify Software for what Forbes reported was about $265 million and was later folded into HP’s Software Division. Founded in 2003, Fortify makes products and services designed to protect companies from security threats in business software applications, and raised $40 million in 2003 from Kleiner Perkins and Sigma Partners.

Today, we’ve learned that HP Fortify and HP’s enterprise security have sustained some notable personnel losses, which stand to benefit a startup called AlienVault. Founded in 2007, the Silicon Valley-based AlienVault produces unified security management solutions for better threat management, not unlike Fortify. However, AlienVault is the creator of Open Source Security Information Management (or “OSSIM”), which provides a set of tools that allow network and security administrators to access a detailed view of their networks, hosts, devices, servers, etc.

The startup calls OSSIM the “de-facto standard open source security information and event management” system, and the solution has racked up 160,000 downloads and users in over 80 countries, with its customers primarily consisting of defense departments, government organizations, banks and enterprises. In other words, the company develops advanced cyber security products that unifies management of critical security systems and processes across the network, like vulnerability scanning, etc., for customers like the Telefonica, Metro Madrid and the European Aeronautic Defense and Space Company.

And Today, AlienVault has officially become the new employer of seven former Fortify and HP executives, including the appointment of Barmak Meftah as president and chief executive, and Roger Thornton as CTO. Meftah was formerly the CPO at Fortify, and Thornton is the founder and former CTO.

The new chief executive was also formerly the vice president of software security products at HP, where he led SPI Dynamics as well as Fortify after its acquisition by HP. He has also held senior management positions at Synchron, Oracle, and Price-Waterhouse. Thorton, too, is a Silicon Valley veteran, having held management roles at eBay, E*Trade, Apple, and Sun. The two together led the sale to HP in 2010.

Joining Meftah and Thornton on AlienVault’s leadership team are Jim Yares, Richard Kirk, John Richardson, Jack Marshall and Gail Boddy, all former VPs and executives at HP Fortify, with the exception of Boddy, who was vice president of human resources at HP ArcSight (ArcSight was acquired by HP in September 2010 for $1.5 billion.)

Obviously, AlienVault wasn’t going to acquire Fortify from HP, but they’ve seemingly done the next best thing. Meftah told TechCrunch that the allure was AlienVault’s technology, which he echoed is one of the more widely-deployed security information and event management solutions (SIEM) on the market.

The new chief executive said that HP Enterprise Security business is doing very well — “so it wasn’t about that” — instead he said that the market for SIEM is growing fast and that AlienVault’s solutions make it uniquely positioned to take advantage. With the level of escalated cyber attacks and hacking last year, more so than ever before organizations realize security is an issue that needs to be addressed from the top down, and SIEM, he says, is one of the fastest growing segments within the security market.

Meftah wouldn’t say whether the team is raising a big series B, but clearly there’s something good brewing over at AlienVault. For more, check them out at home here.



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