Apple, IBM in Pact to Sell Business-Friendly Apps

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July 15 (Bloomberg) -- Apple and IBM will work together to create business-software applications for iPhone and iPad users. Cory Johnson has more on "Street Smart." (Source: Bloomberg)

Ibm will be selling mobile devices.

While the iphone is getting a lot of attention in the announcement, the ipad is much more important.

The dominant tablet in business is the ipad.

Now you have ibm which is an enormous consulting business.

This is a huge deal for apple.

Apple is the dominant computing company in the world.

They sell more devices and have conquered microsoft in ways that were not expected.

Ibm has been a longtime partner to apple from a component world going back to the pc chips manufactured with motorola, but this is a big deal because its services business, the global services business did the $7 billion in revenue for ibm.

All of those service guys and men and women who march into businesses and tell them how to run things with the wisdom of ibm are going to be saying here is your iphone, here is your ipad, get to work.

What is really interesting is most workplaces you not say here is your ipad, here is your iphone, get to work.

They say here's your blackberry and say no thanks.

Can you put this software on my iphone.

So apple finally penetrating that is this community which is so critical.

Can they get some revenue sharing agreement that they are going to get a cut of this?

Let's they will surely get eases of it every single time they install one of these devices.

But this is an expression that has come out of silicon valley in the last couple of years -- between adoption of the iphone and the ipad, the x russian b y od -- bring your own device came to the fore.

People have workarounds and carried two phones.

But with the ipad, a new dynamic emerged, ceos walking to their chief technology guy and say make this work on our corporate network.

Write software on this -- i'm telling you what we want to use and not letting the i.t. guys lead today.

That has become a dominant theme but a lot of technology is still purchased from companies like ingram micro.

Taking their guys on what to do and how to implement it, this is the kind of thing that can move

This text has been automatically generated. It may not be 100% accurate.

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