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With more number of businesses leaning towards Apple products, JAMF saw its revenue jumped 37% from the previous year, it was $60.4 million during the first quarter of 2020.
Founded in 2002, JAMF finally considers going for a public listing due to the growing demand for Apple Inc (NASDAQ: AAPL) products among businesses. In its IPO prospectus, the company said that it’s on a mission to “help organizations succeed with Apple”.
In the prospectus, JAMF also wrote that it takes price in tieing its fortune to the $1.5 trillion tech giant. Since its inception in 2002, JAMF has helped companies deploy Apple’s different lines of products. The company works in close coordination with businesses and provides them different tools to integrate Apple machinery at their end.
In the first quarter this year, JAMF’s revenue jumped 37% from the previous year, now at $60.4 million. Additionally, as more customers moved to its subscription plans, the company’s gross margin also jumped to 75% from 70%. JAMF still continues to be in losses, however, they have narrowed from $9 million to $8.3 million.
As we can see, JAMF started its association with Apple even before the tech giant shot to fame with its iPhone release. Although Apple had its Mac computers available in the market before the iPhone launch, they weren’t as popular as today. A majority of businesses then relied majorly on Windows PCs. It was only after Apple’s mammoth success, businesses started taking a closer look at Apple products. In its industry background section of the IPO prospectus, JAMF wrote:
“Apple is ubiquitous. It has transformed the technology landscape by placing the user first and designing everything around maximizing the Apple user experience.”
Rise in Demand for Apple Products among Businesses
Although JAMF has been an Apple partner since long back, it is only recently that the company saw the demand for Apple products among businesses. In its case studies, JAMF described how IBM decided to deploy a fleet of 30,000 Mac computers for its employees in just a six-month period. Similarly, just two years back in 2018, software giant SAP decided to integrate 80,000 iPhones and iPad for its employees.
JAMF’s current competitors are IBM, Microsoft, and VMware. However, none of these companies operate within the Apple ecosystem. Interestingly, JAMF can face competition from Apple itself after its recent acquisition Fleetsmith. Formed four years back, Fleetsmith providers businesses with software solutions to remotely configure wipe and deploy devices. JAMF said that Fleetsmith doesn’t pose an immediate threat as it is currently focused on small and medium-sized businesses. But the filing warns:
“Apple could leverage this platform, whether through additional investment or the consolidation of other competitors of ours, to compete more directly with the scale and breadth of product offerings we provide”.
In the prospectus, JAMF says that the recent COVID-19 crisis has shifted operational dynamics for companies. It noted that with offices and universities shifting to the work-from-home culture, companies will remain increasingly focused on remote management technologies. It notes that schools and health-care workers were more reliant on iPads and had to shift their immediately. JAMF said that this trend is here to stay for some time.