Apple Confirms The Hybrid Workplace Is Here To Stay
Apple Confirms The Hybrid Workplace Is Here To Stay
Tim Cook, Apple's CEO, believes that many of his company's enterprise customers will continue to support hybrid workforces once the threat of COVID-19 passes.
Work From Home ‘Very Critical’
Cook made the remarks while discussing his company's record-setting Q2 21 results.
“It appears as though many businesses will operate in a hybrid mode,” he said, referring to record-breaking Mac and iPad sales.
“As a result, it appears as though work from home and the productivity associated with it will continue to be critical.”
Apple provided data that illustrates how the pandemic has fueled a work (and learn) from home equipment sales bonanza, with record sales in every product category and geography.
In some regions, roughly two-thirds of people purchasing a Mac or an iPad are doing so for the first time, he said.
Citing cross-industry supply constraints for certain components, he added: "Expect to be supply-gated, not demand-gated, for the remainder of the year's Mac and iPad sales."
Apple experiences major enterprise deployment
As is customary during earnings calls, Apple's Chief Financial Officer, Luca Maestri, mentioned several significant Apple product deployments that occurred during the previous quarter.
“In the enterprise market, customers across a broad range of industries are accelerating their adoption of iPhone 12 and 5G as a critical platform for their business's future,” he said. They include the following:
- Delta Airlines: As previously announced, Delta will distribute tens of thousands of iPhone 12s to flight attendants. These will be used to enhance passenger services in a variety of ways, including an interesting application of augmented reality.
- Openreach, a provider in the United Kingdom, is distributing tens of thousands of iPhone 12s to field service engineers to expedite broadband deployment.
- UC Health in Colorado, which reduced patient vaccination time from three to thirty seconds by transitioning from PCs to iPhones.
Apple’s WFH Opportunity
Apple will almost certainly continue to benefit from the work-from-home trend when it comes to enterprise deployment. According to Gene Munster of Loup Ventures, "Apple will continue to be a growth story for the foreseeable future." The company will benefit from a multi-year 5G cycle, an accelerating digital transformation, and eventual new product categories
“Demand feels extremely strong right now,” Cook explained.
On the Mac, you can combine the M1 with work from home and remote learning, while on the iPad, you can combine remote learning and work from home.
Cook's observation that both Macs and iPads benefit from global adoption of hybrid working models seems particularly pertinent in light of the M1-powered iPad Pro's recent introduction.
With the same processor now found in both Macs and iPads, industry observers anticipate that Apple will make significant changes to the iPad UI to allow users to fully exploit the processor's locked-in power.
Cook's recognition that both products serve these markets hints at a broader recognition within Apple of the critical nature of both product families for enterprise professionals.
What we don't know is whether this will extend to future multitasking evolutions or include support for professional applications such as Final Cut Pro, Xcode, or Logic X.
Meanwhile, the macroeconomic trend continues.
Over 70% of employees want to continue working remotely after the pandemic passes. Additionally, there is widespread support for hybrid work models.
HSBC CEO Noel Quinn stated on LinkedIn that once the pandemic is over, he wants to reconnect with colleagues in an open plan office environment, but also plans to "move to a hybrid model across HSBC."
General Motors, MUFG, and others are reducing their reliance on real estate in favor of hybrid work models. This shift is evident in the majority of countries; even the European Central Bank has announced plans to employ hybrid workers.
Apple has undoubtedly benefited from this trend, which means that personal and professional uses of devices are becoming increasingly intertwined, as they frequently occur on the same device.
I expect we'll get a sense of how Apple views this transformation at WWDC when we learn to what extent the company's next operating system iterations reflect this profound societal change.
Perhaps when used in conjunction with an external mouse, the iPad pointer will develop a Mac-like cursor. Perhaps Apple has more significant changes in mind to improve collaboration and communication. We should receive additional information shortly.
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