There’s no denying the success Apple has enjoyed thanks to their major shift in strategy under Steve Jobs’ reign. Before then they were seen as a direct competitor to Microsoft in almost every way: iMacs vs PCs, MacOS vs Windows and at pretty much every turn they were losing the battle save for a few dedicated niches that kept them afloat. That all changed when they got into the consumer electronics space and began bringing the sacred geek technology to the masses in a package that was highly desirable. There was one aspect of their business that suffered immensely because of this however: their enterprise sector.
Keen readers will note that this isn’t the first time I’ve mentioned Apple’s less than stellar support of the enterprise market and nothing has really changed in the 8 months since I wrote that last post. Apple as a company is almost entirely dedicated to the consumer space with token efforts for enterprise integration thrown in to make it look like their products can play well in the enterprise space. Strangely enough it would seem that this token effort is somehow working to convince developers that Apple (well really iOS) is poised to take over the enterprise space:
In the largest survey of its kind, Appcelerator developers were asked what operating system is best positioned to win the enterprise market. Developers said iOS over Android by a 53% to 38% margin. Last year, in its second quarter survey, the two companies were in a dead heat for the enterprise market, tied at 44%.
In a surprise of sorts, Windows showed some life as 33% said they would be interested in developing apps on the Windows 8 tablet.
Now there is value in gauging developer’s sentiment regarding the various platforms, it gives you some insight into which ones they’d probably prefer to develop for, however that doesn’t really serve as an indicator as to what platform will win a particular market. I’d hazard a guess (one that’s based on previous trends) that the same developers will tell you that iOS is the platform to develop for even though it’s quite clear that Android is winning in the consumer space by a very wide margin. I believe there’s the same level of disjunct between what Appcelerator’s developers are saying and what the true reality is.
For starters any of the foothold that iOS has in the enterprise space is not born of any effort that Apple has made and all of it is to do with non-Apple products. For iOS to really make a dent in the enterprise market it will need some significant buy in from its corporate overlords and whilst there’s been some inroads to this (like with the Enterprise Distribution method for iOS applications) I’m just not seeing anything like that from Apple currently. All of their enterprise offerings are simplistic and token lacking many of the features that are required by enterprises today. They may have mindshare and numbers that will help drive people to create integration between iOS products and other enterprise applications but so does Android, meaning that’s really not an advantage at all.
What gets me is the (I’m paraphrasing) “sort of surprise” that developers were looking to Windows 8 for developing applications. Taken in the enterprise context the only real surprise is why there aren’t more developers looking at the platform as if there’s any platform that has chance at dominating this sector it is in fact Windows 8. There’s no doubting the challenges that the platform faces what with Apple dominating the tablet space that Microsoft is only just looking at getting into seriously but the leverage they have for integrating with all their enterprise applications simply can’t be ignored. They may not have the numbers yet but if developer mindshare is the key factor here then Microsoft wins hands down, but that won’t show up in a survey that doesn’t include Windows developers (Appcelerator’s survey is from its users only and currently does not support Windows Phone).
I’ve had my share of experience with iOS/Android integration with various enterprise applications and for what its worth none of them are really up to the same level as native platform applications are. Sure you can get your email and even VPN back in to a full desktop using your smartphone but that’s nothing that hasn’t been done before. The executives might be pushing hard to get their iPads/toy dujour on the enterprise systems but they won’t penetrate much further until those devices can provide some real value to those outside of the executive arena. Currently the only platform that has any chance of doing that well is Microsoft with Android coming in second.
None of this means that Apple/iOS can’t do well in the enterprise space, just that there are other players in this market far better positioned to do so. Should Apple put some focus on the enterprise market it’s quite likely they could capture some market share away from Microsoft and their other partners but their business models have been moving increasingly away from this sector ever since they first release the iPod over a decade ago. Returning to the enterprise world is not something I expect to see from Apple or its products any time soon and no developer sentiment is going to change that.
I’ve gone on record in the past about how the median house price is unaffordable for the median income earner in Australia. In the same breath I also explained how rare that this kind of situation was due to the number of assumptions made when you just equate median income with median house price. Still it seems to be a sticking point for many people of my generation that housing prices are just too damn high for them to be able to afford something, even if their incomes are above the median. While I’ll admit that it is harder in some areas rather than others (like Canberra for instance, which I explain below) the generalization the property is straight up unaffordable for our generation just simply doesn’t hold water and the reasons are far more likely to be ones of desire than affordability.
The Canberra Times ran an article yesterday that showed Canberra’s cheapest house prices were $100,000 more than the cheapest places in other capital cities. The cheapest suburb Charnwood (where I just so happen to live) had a median price of $382,000. In comparison to the other 2 suburbs listed in the article this seems kind of ludicrous but there are some pretty good reasons for this discrepancy. Firstly the suburbs that Canberra was compared to aren’t exactly identical with Charnwood being only 20 minutes to the CBD of Canberra and the other suburbs being around double or triple that distance. In that respect it’s more apt to compare property in Queanbeyan and the surrounding region which has several areas with a substantially lower median. There’s also the fact that Canberra is disproportionately affluent thanks to the high concentration of public service jobs and low population which skews the median further. That doesn’t change the fact that property in Canberra is more expensive than it would be elsewhere but it does show that straight up comparisons like the one in the Canberra Times aren’t exactly apples to apples.
Whilst the zeitgeist around the property market for my generation might be “it’s too expensive” a recent survey showed that a large majority of my generation are considering buying property within two years. Unfortunately only 30% think of it as a good investment (although what investment vehicles they consider good doesn’t seem to be included) which makes me then wonder why so many are intending to buy. The biggest challenge according to the survey is saving the required deposit for the house, not financing the loan as you’d expect. The article then references the high median price in Sydney as a source of this barrier which, in my mind, isn’t a barrier at all.
The first folly here is to assume that a first time home buyer should be buying at the median. For starters a good 50% of the housing market will be below that price range, especially if you consider some of those cheap suburbs that the Canberra Times article alluded to. This reduces the “required” (more on that in a sec) deposit from $110,000 to something more like $60,000~75,000 still an non-insignificant amount but a lot less than what the article insinuates. There’s also the assumption here that you need to get a 20% before considering buying which I can tell you is misnomer.
For starters the 20% threshold is usually just to avoid paying Lender’s Mortgage Insurance (LMI). Now this isn’t insurance for you, it’s for the bank in case you default on the loan. What a lot of people seem to think is that this is either some astronomical one off cost or a recurring charge that’s tacked onto the loan. For both of the home loans we currently have we had little more than a 5% deposit and the LMI charge was a couple thousand dollars, much less than the amount of cash required to get the 20% deposit. Of course your choice of loans might shrink a little as well but we never struggled in finding a suitable loan at a decent rate, even when we had such a small deposit. Put this all together and cracking into the property market doesn’t seem as bad for my Generation Y cohorts but you wouldn’t read that in the papers.
Realistically it all comes down to a lack of information and understanding which is unfortunately fuelled by articles like the ones I’ve linked to. Whilst I know that many won’t do the research and then continue to lament their position I’m hoping that at least a few will see articles like mine and start doing some investigation for themselves. Knowledge, as they say, is power and the Australian property market is no exception to this.
In the eyes of corporate IT shops the word virtualization is synonymous with the VMware brand. The reason is this is simple, VMware was first to market with solutions that could actually deliver tangible results to the business. VMware then made the most of this first mover advantage quickly diversifying their product portfolio away from just straight up virtualization into a massive service catalogue that no competitor has yet to match. There’s no denying that they’re the most pricey of the solutions however but many IT shops have been willing to wear the costs due to the benefits that they receive. However in the past couple years or so the competitors, namely Hyper-V and Xen, have started to catch up in features and this has seen many IT shops questioning their heavy investment in VMware.
Undoubtedly this dissatisfaction with VMware’s products has been catalysed by the licensing change in vSphere 5 which definitely gave the small to medium section of the market some pause when it came to keeping VMware as a platform. For larger enterprises it wasn’t so much of a big deal since realistically they’d already licensed most of their capacity anyway. Still it’s been enough for most of them to cast a careful eye over their current spend levels on VMware’s products and seek to see if there’s perhaps a better way to spend all that cash. Indeed a recent survey commissioned by Veeam showed that 38% of virtualized businesses were looking to switch platforms in the near future.
The report doesn’t break down into exactly which platform they’re switching from and to but since the 3 biggest reasons cited are cost, alternative hypervisor features and licensing model (all long time complaints of the VMware platform) it’s a safe bet that most of those people are considering changing from VMware to another platform (typically Hyper-V). Indeed I can add that anecdotally the costs of VMware are enough now that business are seriously considering the platform swap because of the potential savings from a licensing perspective. Hyper-V is the main contender because most virtualization is done with Windows servers and under the typical licensing agreements the hypervisor is usually completely free. Indeed even the most basic of Windows server licenses gives you 1 free virtual machine to play with and it just gets better from there.
But why are so many considering switching from the market leader now when the problems cited have been around nearly half a decade? For the most part it has to do with the alternatives finally reaching feature parity with VMware when it comes to base level functionality. For the longest time VMware was the only one that was capable of doing live migrations between hosts with technology they called vMotion. Xen caught up quickly but their lack of Windows support meant that it saw limited use in corporate environments, even after the support was added in shortly after. Hyper-V on the other hand struggled to get it working only releasing it with Server 2008 R2. With Windows 2003 and XP now on the way out many IT shops are now looking to upgrade to 2008 R2 and that’s when they notice the capabilities of Hyper-V.
Strictly speaking though I’d say that whilst there’s a good few people considering making the jump from VMware to another hypervisor the majority are only doing so in order to get a better deal out of VMware. Like any business arrangement the difference between the retail price and the actual price anyone pays is quite large and VMware is no exception to this rule. I’ve seen quite a few decision makers wave the Hyper-V card without even the most rudimentary of understanding of what it’s capabilities are, nor any concrete plans to put it in motion. There’s also the fact that if you’re based on VMware now and you switch to another platform you’re going to have to make sure all your staff are retrained with the new product, a costly and time consuming exercise. So whilst the switch from VMware may look like the cheaper option if you just look at the licensing there’s a whole swath of hidden and intangible costs that need to be taken into consideration.
So with that all said is VMware staring down the barrel of a inevitable demise? I don’t believe so, their market capture and product lead means that they’ve got a solid advantage over everyone in the market. Should the other hypervisors begin eating away at their market share they have enough of a lead to be able to react in time, either by significantly reducing their prices or simply innovating their way ahead again. I will be interested to see how these figures shape up in say 3/9/12 months from now to see if those 38%ers made good on their pledge to change platforms but I’m pretty sure I know the outcome already.
It’s been almost two years since I posted my very first thoughts on the issue of game censorship and back then it was really only an issue because of the impending Internet filter that was threatening to turn Australia into an Internet back water. Thankfully the Internet filter hasn’t yet come to be (although it seems Conroy is still committed to the idea) and the barriers that once stood between the Australian gamers and titles deemed unfit for people half their age have started to come crumbling down. There’s even the possibility of the classification system getting a complete overhaul to do away with the disjunct between states and territories, something which will be beneficial for all Australians.
Up until now however most of the progress we’ve seen has just been in the form of promises and postulation from politicians with little actual progress to show for it. Last week however saw the first few real steps towards actual reform on this issue, something which I wasn’t expecting to see for another couple of months. The first bit of progress that I came across was a draft proposal from Attorney General Brendan O’Connor that outlined what the new R18+ classification guidelines would look like:
“The Gillard Government wants to provide better guidance for parents and remove unsuitable material from children and teenagers. The introduction of an R18+ classification will help achieve that and will also bring Australia into line with comparable nations,” said O’Connor in a statement. “This issue has been on the table for many years, without the necessary progress to make a change. We’ve recently seen several states publicly express their support for an adult only rating for games and I’m keen to reach a unanimous decision at the July meeting.”
Interestingly the proposed R18+ rating would also include reworking the MA15+ rating a bit, mostly adding in restrictions that things like sex, drugs and nudity can’t be linked to rewards and incentives. It’s a pretty small distinction but it does mean certain types of games like say Leisure Suit Larry or Strip Poker will find themselves firmly in the R18+ category (as they probably should) whilst most games currently rated MA15+ won’t be affected by the rating change. It does have the potential to shove quite a few titles into R18+ if you take a broad interpretation of “must not be related to incentives or rewards” for things like leveling up in Call of Duty or Battlefield, but I think the rewards are far enough away from the action for them to skirt around that idea. We’ll have to see what the Australian Classification Board thinks on that one though.
Additionally it looks like the ACB is going out to the public again to seek what the public’s reaction is to the proposed guidelines and R18+ rating. This time around however they’ve gone for a quick survey with a short comment box at the end of it. If you’re in support of the R18+ rating you should head over there now to have your say in this matter as hopefully we can garner the same sort of reaction we did last time they tried this and wrote off the results as “gamed” by the supporters. Realistically they underestimated just how passionate gamers are about this issue, heck my brother even asked me if I had written a submission for it and he’s not one for politics.
Of course the vocal minority has hit out at the proposed guidelines in the usual fashion. I was going to do a take down of their FUD line by line but honestly I don’t want to give them any more air time than what they’ve already got as there’s no swaying them away from their absurd opinions. Just let it be known that the Australian Christian Lobby fervently opposes the R18+ rating as they do anything that could legitimize the behavior of adults that disagrees with their world view, even if it would benefit them in some way.
We’re now only a few short months away from Australia casting off part of its archaic past and stepping towards the future. It’s been a long time coming with many political battles fought and nearly a dozen articles written on the subject by yours truly but finally the Australian gaming community might just be treated for what they are: mostly adults. There’s still many more steps to go before the R18+ rating becomes a reality but progress is now decidedly forwards instead of in circles and that should make every Australian gamer very happy indeed.