Cisco Cius Tablet Overtaking Apple iPad?: Call Me Skeptical
Now I don’t pretend to be some big expert on Cisco Systems, but I do know a thing or two about consumer electronics and usability. That’s why I have some strong opinions about the Cisco Cius, a Google Android-based tablet that’s expected to ship in early 2011. Cius apparently has built-in video capabilities and is designed for businesses. But here’s why I think Apple’s iPad has already beaten Cius in the corporate market.
Here’s the big reason I don’t think Cius will take off: Price.
Cisco hasn’t publicly disclosed an estimated retail price, but this Wall Street Journal article says that it’ll be “less than $1000.” That’s pretty vague and pretty lofty. My prediction: It won’t be less than $500, and if the Cius phone docking station isn’t included, expect it to literally be $999 or more for a complete solution.
What’s more, you don’t just buy a Cius and go — you have to be inside Cisco’s ecosystem, which, in it of itself, isn’t cheap either. So while the Cius may be very friendly and very helpful and extremely easy to use, and have shiny fancy Cisco Cius GUI layered on top of it — it might not be what tends to be the most important: economical.
On the flip side, an iPad sits at $499 and doesn’t require a pre-existing infrastructure from Apple to get going. Just check out our iPad tags on MSPMentor and The VAR Guy to get a feel for the iPad’s early business momentum. It’s already nearly ubiquitous, with everyone jumping on writing work-ready apps and iOS flourishing. Even Cisco’s own WebEx runs beautifully on it.
And yes, I hear you back there, the guy anticipating Telepresence on the Cius. I have to concede, the iPad doesn’t have a built-in video camera. But rest assured, if Apple’s iPhone 4 FaceTime video chat takes off, you’ll see it in the next iteration of the iPad. Maybe that’s not until April 2011, but it’s coming. But if you’re looking for the portable do-all video chatting device for work on the go, the Android tablet market is starting to shape up already, and there’s plenty of video-chatting Android devices out there already (EVO 4G to name just one).
So here’s my bottom line: Cius? It’s a glorified Android but price could hold it back.
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Agreed, and the other big reason is Apps.
No tablet maker can compete with the Apple app store.
Doug: Interesting point… though The VAR Guy thinks you shouldn’t underestimate the Android apps store… Certainly, Cisco will leverage that somehow, no?
-TVG
but the ipad is for SHEEP. There is litterally nothing good about ipad. You want to talk about being locked into ciscos “ecosystem”? What do you call ipad? YOu cant put anything on that thing that isnt made by apple. At least with android I get all the 3rd party apps I will ever want/need. It isnt even a question. cisco blows doors on apples technology.. and they support more of an open source format.
My friends got an ipad, its esentially a 650 dollar paper weight, he hates it. so do i. SHEEEEEEEP. you are all SHEEP.
Cisco have the money to make the Cius successful in the enterprise market. The early pictures do not look inspiring but if it can extend Cisco’s UC infrastructure seamlessly over 3G and provide decent access to office apps then it could take off big style. Cost will not be toomuch of a factor – $999 for allowing you employees towork seamlessly remotely is a bargain imo – the 7″ form factor will also become the dominant size if feedback about the clunkiness of iPads proves to be true.
James: The VAR Guy deeply respects Cisco and the company’s continued push into new markets. But cost WILL be a factor for Cius. The tablet will need to run specific vertical apps in order for CIOs to cost-justify $999 for a tablet, especially when a lot of CIOs are having trouble cost-justifying simple PC purchases/upgrades these days…
-TVG
Nice blog TVG. I think you are correct in a lot of regards but have some additional throughts to put out there. You state an iPad is $425, this is a base model with no 3G. To compare to teh Cius you would have to look at the 64GB/3G model which is $850 so the price point is not such a factor given the added capabilities. The Cius at least has the ability to connect to external devices via USB. This is very limited on the iPad
If you look at the tablet market as a whole with the Avaya, Samsung and HP models to name a few, users will have a broad range of sizes and costs to choose from. If history depicts the future, Cisco will get their market share. Regardless of which platform you choose, the exciting thing for enterprise users is the possibilities this new end point market opens up.
Regards.
sorry Dave but I think you’re completely missing the point of the Cius. Its price is irrelevant, the fact that it runs android is irrelevant. Its value is that it comes from a vendor that knows how to talk to enterprises and understands IT management concerns, and the applications that it will run will be vertical market applications developed for the needs of the enterprise.
The iPad is a consumer device and Apple is a consumer device company. The bring your own device movement will allow Apple to get a toehold into this market but it will be no more than a toehold without a full commitment from Apple to directly engage the enterprise market. This is something that Apple has consistently failed to deliver on and I don’t see any reason to assume that this position is going to change in future
Hi Simon,
Thanks for your perspectives. I understand your point that Cisco has the enterprise under their belt and can develop the right applications creating the right ‘tool’ for the job. But don’t be so quick to dismiss what it’s built on, just since it has a Cisco logo on it…
The iPad has been proven over and over again that it’s more than just a consumer device, (just like a lot of other ‘consumer’ devices out there.) It’s an on-going trend with the consumerization of IT. What’s more, Apple has given their biggest commitment to businesses by working with Unisys to deliver Apple products into the government, enterprise and more. And they also have a very special deal with Ingram Micro.
Turning back to Cisco — what does it say when Cisco has even developed their own gorgeous WebEX app for the iPad? That’s validation of the platform in some sense, don’t you think?
We’re constantly reporting on all the places that we see the iPad crop up. I can’t tell you how many people were using iPads at Symantec Partner Engage, even CEO Enrique Salem admitted he used one daily.
There is much more than a “toehold” in the business space with the iPad, because if there wasn’t, Microsoft wouldn’t be pushing their resellers on how to get companies off the iPad.
http://www.thevarguy.com/2011/01/25/microsoft-to-partners-displace-ipads-with-windows-7-tablets/
All those things, plus, the very real fact that the the Cius’ price tag and operating system can be very alienating (not to mention that we have no reports of the tablet’s success, performance or usefulness) prove my point.
Cius is dead in the water. A lot like Umi.
You have to accept that there is a big difference between a consumer device being used in the enterprise, and a device designed specifically for the enterprise. The WebEx client for the iPad that you mention isn’t acceptance that the iPad is an enterprise device, rather it is recognition that it by employees within an enterprise. That may sound just like semantics but is provable many times over, consider the difference between for example a Dell Inspiron laptop and a Dell Latitude laptop. One is a home stroke home office device the other is tailored specifically to the needs of large enterprise customers. There’s nothing to stop an individual from using an Inspiron laptop within a large enterprise (just as there is nothing to stop someone using an iPad) but neither device aligns well with enterprise management needs.
On your last point, you may still be right. If Cisco does not get its finger out and start shipping Cius very soon something else could well take its place.
I see your point Simon, and you’re right. But just because a device is designed for the enterprise doesn’t mean that a non-enterprise device can’t be turned into a useful product for the enterprise. You suggest it’s more like retro-fitting. I’m suggesting it’s more like upgrading.
But, I agree, Apple does not have their eye on the enterprise like Cisco. And I’ll readily admit Cisco has the ‘correct’ top-down approach. But there’s no reason that software, software updates, and other infrastructure upgrades can’t make consumer devices like the iPad bubble up.
I think it means something when Apple COO Tim Cook says that 80% of of Fortune 100 companies have either tested or deployed Apple iPads. I think it’s significant when you have big-name endorsements like Deutsche Bank who recently (today) announced they’re ditching Blackberry all together for iOS devices.
These are all Enterprise-level endorsements that are more than just an individual employee walking in and getting their iPad to work. And with the more demand, Apple will likely tweak the device for enterprises (as they have in the past) to continue that momentum.
Apple already allows Enterprise-level iOS development so companies can deploy and run their own apps without Apple’s approval process.
Point being? There’s very much more than a ‘toehold.’
Thanks Dave. I’m not sure if the announcement today from Deutsche Bank Equity Research should be read as meaning that Deutsche Bank (a very large enterprise organization), is moving to support iPhones or if that move applies only to Deutsche Bank Equity Research (a far smaller organization). If it’s the former then either greed is a big deal, however if it is just Deutsche Bank Equity Research then it’s barely creates a ripple. I’ve looked at Apple’s current enterprise support for iOS and today it is, well let’s just say it’s less than satisfactory. There are a number of third-party organizations that are providing more effective enterprise application delivery support than Apple chooses to provide, and no doubt over time these solutions will get better, but today they still fall a long way short of what is needed for secure enterprise class application management to employee owned devices. Having to go to a third party to get the management services needed to support consumer devices in the enterprise is clearly unwelcome, and is something that handicaps Apple.
Ironically, Blackberry has at last woken up to the employee owned phone challenge with its announcements around Blackberry Balance. However it really looks to me that this is too little too late to save Blackberry, and besides what percentage of people would actually buy a Blackberry with their own money?
I’ve some more thoughts on this on my blog should you care to take a look. http://simonbramfitt.com
regards
Simon
Ironic timing: The VAR Guy might be scrolling across Cisco’s campus this Friday. If anyone has Cius or Cisco channel questions The VAR Guy is all ears.
-TVG