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Microsoft Leads in Enterprise IT ahead of Motorola Solutions

September 7th, 2013

Enterprise IT - Microsoft LeadsThe Enterprise segment remains pressured as organizations continue to sweat their IT hardware assets longer and IT spending remains muted. Specifically to MSI, the Microsoft transition to Windows 8 on enterprise grade tablets/mobile communication is also impacting enterprise segment growth rates.

MSI does have Android and HTML5 alternative offerings but Microsoft remains the predominant offering in enterprises and current expectations for enterprise grade Windows 8 is likely by mid-2014. Microsoft’s recent announcement to acquire Nokia’s handset business suggests it remains committed to developing the Windows 8 platform for mobile devices.

Decline in IDEN for 2014 is expected to also be another headwind with declines of around 60% from 2013 levels. While ASPs remain stable, mix is negatively impacting margins.

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