Hear the latest research from VDC and understand the total cost of ownership of rugged vs non-rugged mobile solutions.

1. vdcresearch.com
0©2011 VDC Research Group, Inc.
Mobile & Wireless
Mobile & Wireless Practice
RuggedTablet Calculus:
Understanding theTotal Cost of Ownership
of Mission Critical Mobile SolutionsJune 2013
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2. vdcresearch.com
1©2011 VDC Research Group, Inc.
Mobile & Wireless
Agenda
vdcresearch.com
AboutVDC Research
Tablet Market Dynamics
Total Cost of Ownership Models
RuggedTabletTCO

3. vdcresearch.com
2©2011 VDC Research Group, Inc.
Mobile & Wireless
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4. vdcresearch.com
3©2011 VDC Research Group, Inc.
Mobile & Wireless
Approximately 17% of tablets used in enterprise settings and workflows
EMPOWERINGTHEMOBILEWORKERWITHTHERIGHTTABLET
TabletGrowthOutpacingAllMobileForm Factors
Global PC andTablet Shipments
(Units)
 Tablets are not new to the enterprise. Many
vertical workflows supported by tablets.
 Introduction of iPad and Android tablets
providing lift to the market.
 However, consumerization is less about
bringing consumer devices into enterprise and
more about introducing ‘consumer’ interfaces
on enterprise devices.
 Ease of use/ user interface and new
power/performance paradigm are critical
enablers of next wave of tablet development.
 Moreover, the horsepower of ARM-based media
pads will be a limiting factor for more
sophisticated enterprise mobile applications.
 Windows 8 being closely monitored and has
potential to disrupt some Android momentum.

5. vdcresearch.com
4©2011 VDC Research Group, Inc.
Mobile & Wireless
12.3%
47.0%
35.0%
5.7%
EXTREMELY IMPORTANT VERY IMPORTANT SOMEWHAT IMPORTANT NOT THAT IMPORTANT
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
40.0%
45.0%
50.0%
Level of importance of TABLETS as a strategic mobile computing and
communications platform
Tablets becoming a more strategic mobile computing and communications platform
Approximately six in ten organizations perceive tablets as very or extremely strategic as a mobile
computing and communications platform.

6. vdcresearch.com
5©2011 VDC Research Group, Inc.
Mobile & Wireless
0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0%
CURRENTLY USING TABLETS
CURRENTLY USING TABLETS AND PLANNING TO
EVALUATE AND/OR DEPLOY AN UPGRADE
CURRENTLY EVALUATING TABLETS
PLANNING TO EVALUATE AND/OR DEPLOY A NEW
TABLET SOLUTION
EVALUATED TABLETS BUT DID NOT DEPLOY
NO CURRENT PLANS TO EVALUATE OR DEPLOY A
TABLET SOLUTIONS IN NEXT 12 MONTHS
DON'T KNOW
Tablet Investment Situation
Broad interest in tablets among enterprise and government organizations with 55% currently using or
evaluating/planning to deploy tablets
Resulting in broader adoption of tablets in the enterprise
Few organizations that evaluate tablets decide not to deploy. Balanced mix between current users
and evaluators with almost 30% of organizations with no current tablet initiatives.

7. vdcresearch.com
6©2011 VDC Research Group, Inc.
Mobile & Wireless
0.0% 10.0% 20.0% 30.0% 40.0% 50.0%
INCREASING REVENUES
REDUCING MOBILE COMPUTING COSTS
IMPROVING SCHEDULE PERFORMANCE
OBTAINING BETTER INSIGHT INTO OPERATIONAL
PERFORMANCE
EMPLOYEES DEMANDING TABLET SUPPORT
IMPROVING CUSTOMER SERVICE AND SATISFACTION
IMPROVING MOBILE WORKER PRODUCTIVITY
Tablet Investment Drivers
Tablet viewed as a key workforce productivity and customer engagement platform
Organizations focusing on worker productivity and customer satisfaction and interaction as the key
tablet investment drivers.

8. vdcresearch.com
7©2011 VDC Research Group, Inc.
Mobile & Wireless
From direct sunlight exposure to use of device with wet or gloved hands, all impact the usability of mobile
devices by field workers
Considering the Use Environments Critical to Device Selection
0% 5% 10% 15% 20% 25% 30% 35% 40% 45%
None of the above
Device exposure to extreme vibration
Device exposure to extreme (low/high)
temperatures
Use of device in wet conditions (rain)
Use of device with gloved hands
Use of device in direct sunlight
38%
22%
24%
28%
28%
43%
Environments or scenarios common to your most recent mobile
deployment by form factor

9. vdcresearch.com
8©2011 VDC Research Group, Inc.
Mobile & Wireless
Failure rates of mobile devices used for line of business applications increases substantially for non-rugged
devices
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
Tablets Smartphones
Rugged Non-Rugged
The recent influx of consumer devices into the
enterprise through broader support for BYOD
programs and the desire by users for a more
intuitive and modern platform has contributed to
an increase in device failure rates.
Failure rates for popular (non-rugged) consumer
devices used to support line of business
applications exceeds 15% for tablets and 20%
of smartphones, representing a measurable
increase in comparison to the previous research
conducted by VDC.
Conversely, failure rates of rugged devices
dropped. While end users are using devices
longer, on average, as a result to access to
capital issues, a shift in device class deployed
has contributed to a drop in average failure rate.
Mobile Device Failure Rates by DeviceType

10. vdcresearch.com
9©2011 VDC Research Group, Inc.
Mobile & Wireless
Variety of hardware and software issues driving failure
MOBILESOLUTIONTRENDS
9%
16%
16%
19%
30%
48%
67%
0% 20% 40% 60% 80%
Plug-in wireless cards
Peripheral/accessory
Wireless radios
Drive failure
Damaged
keyboard/keypad
Software failures
Cracked display
Leading Symptoms of Device Failure
Leading Symptoms of Device Failure
8%
9%
11%
14%
38%
42%
77%
0% 20% 40% 60% 80% 100%
Excessive vibration
exposure
Dust particulates exposure
Excessive heat/cold
temperature exposure
Unauthorized changes to
device
configuration/settings by…
Water/liquid exposure
Software related issues
Dropping device
Leading Causes of Device Failure

11. vdcresearch.com
10©2011 VDC Research Group, Inc.
Mobile & Wireless
Consumerization of IT less about bringing consumer devices into the enterprise
and has more to do to delivering ‘consumer-like’ experience on enterprise devices.
In line of business, enterprise-lead processes dominate.
Leading consumer platforms – Android and iOS – still have major limitations for enterprise-centric use cases, especially in
line of business environments. Key challenges include:
• Security support.
• Multitasking capabilities.
• WiFi Connection Management.
• Compatibility.
• Lifecycle support and version control.
• Help desk.
• Device and OS maintenance.
• File Transfer.
• Printing.
• Connectivity.
Microsoft Remains in Drivers Seat in Enterprise

12. vdcresearch.com
11©2011 VDC Research Group, Inc.
Mobile & Wireless
TCO critical to making right tablet investment decision
Hard Costs
Hardware
• Mobile Platforms
• Peripherals
Software
• Upfront Fees
• License Fees
• Development Costs
System Design and
Integration
• Application Design and
Development
• System Integration
• Staging
Soft Costs
Training
• Initial User Training
• On-going User Training
Operational
• System Maintenance
• 3rd Party Technical Support
• Internal Technical Support
• Upgrades
• Application Management
Downtime
• Lost Manpower/Wages
• Lost Revenues
• HW Replacement

13. vdcresearch.com
12©2011 VDC Research Group, Inc.
Mobile & Wireless
Rugged device TCO measurably lower in comparison to non-rugged TCO
$0
$1,000
$2,000
$3,000
$4,000
$5,000
$6,000
Tablets Smartphones
Rugged Non-Rugged
As a result of the increased failure rates of
consumer devices used in line of business
environments, their TCO relative to rugged
counterparts grew considerably.
Other challenges with consumer devices include:
• Accessory management
• Wireless performance
• Use with gloved hands/ wet conditions
• Lifecycle management
• Security
The appeal of consumer devices lies not only in
their lower upfront adoption cost but also the
significantly superior user experiences
delivered on these devices.
It is here that rugged devices – especially
handheld devices and tablets need to improve to
counter this trend.
Mobile Device AnnualTCO for Line of Business Applications

14. vdcresearch.com
13©2011 VDC Research Group, Inc.
Mobile & Wireless
$0
$2,000
$4,000
$6,000
Rugged Tablets Non-Rugged Tablets
Annual Tablet TCO
Upfront Deployment Hard Costs IT Support Costs Productivity Loss Costs
ITSupportandProductivity
LossAccountsfor89%ofTCO
TabletTCO for Line of Business Applications

15. vdcresearch.com
14©2011 VDC Research Group, Inc.
Mobile & Wireless
IT budget pressures driving greater focus on ROI and TCO of mobile investments – major projects require hard
metrics
Increasing importance for strong metrics such as ROI and TCO to not only validate
investments but similarly to track and measure use of mobile solutions within the enterprise
post deployment.
Line of business mobile solutions are business and mission critical – and need robust and
reliable solutions to support them.
Consumerization of IT all about introducing consumer experiences – NOT technology – into
the enterprise. Traditional enterprise oriented mobile solutions need to catch up.
Critical is aligning right mobile solution with target user and application environment. Flood of
consumer technologies in the enterprise has driven spike in failure rates.
The cost of supporting and managing a device post deployment is just as if not more important
that the upfront device investment.
Enterprise Mobility Investments:TCO and ROI Models Becoming More Critical

16. ?
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