Apple Inc. (NASDAQ:AAPL) and International Business Machines Corp. (NYSE:IBM) have signed a partnership agreement that will allow them to make a rush for the Enterprise business segment that BlackBerry has been relying on, to rejuvenate its Growth metrics. Competition in the Enterprise tool segment has essentially taken a new dimension according Capital Management, Charles Sizemore, who in an interview on CNBC said it would considerably affect BlackBerry Ltd (NASDAQ:BBRY) going forward.
“I would say this is bad news for BlackBerry off course. But BlackBerry, what is really left for BlackBerry in any way. BlackBerry has been declining for so long that is really not a story”. Mr. Sizemore has also emphasized that it is also bad news for Google Inc. (NASDAQ:GOOG) and Microsoft Corporation (NASDAQ:MSFT) who could have made an initial entry into the space.
Taking into consideration that Apple Inc. (NASDAQ:AAPL) will have access to International Business Machines Corp. (NYSE:IBM) Salesforce and enterprise experience, Sizemore believes that will make them one of the biggest competitors in the space. Apple will be one of the top gainers in the deal considering it has a huge presence in enterprise despite not having any Enterprise sales force or phones designed for Enterprise.
“It is amazing that Apple already has a huge presence in enterprise given that until now, they don’t have any enterprise salesforce. Their phone was not really designed for enterprise audience” said Mr. Sizemore
Apple Inc. (NASDAQ:AAPL) according to Sizemore has matured over the past few years having grown up to target Enterprise customers to offset slow growth in the consumer market. The consumer market is already saturated as more companies continue to manufacture smartphones. Sizemore also said that Apple has a greater chance to grow at the back of making huge investments in the Enterprise segment especially in the U.S.
It is still not clear as to how Apple Inc. (NASDAQ:AAPL) will be successful in Enterprise, considering it already has such a large presence in the space. Sizemore remains bullish on Apple Inc. (NASDAQ:AAPL) based on valuation despite the company experiencing a slow growth rate than it used to be while also remaining Bearish on BlackBerry Ltd (NASDAQ:BBRY).