MobileIron, Good get set for IPOs amid competition from BlackBerry, VMware

  • Leading mobile device management (MDM) software firm MobileIron (MOBL) has set an $8-$10 IPO price range. At the midpoiint, the range spells a valuation of $672M, or 6.4x 2013 sales.
  • MobileIron, which originally filed in April, is looking to raise $89M-$111M by selling 11.1M. shares. Though still growing at a healthy clip, the company’s latest S-1 points to a growth slowdown: Billings rose 34% Y/Y in Q1 to $30.3M, notably slower than 2013’s 48% clip. Revenue, pressured by a shift to subscription sales from perpetual licenses, only rose 9% to $28.2M.
  • Good Technology, another high-profile MDM player, is also getting set to go public … and its numbers are more worrying. Billings actually fell 2% Y/Y in Q1 to $47.4M, and 1% in 2013 to $194.3M. Revenue still rose 35% in Q1 to $46.6M. Good hasn’t yet disclosed a symbol or offering terms. (S-1)
  • Each company, along with its peers, faces two big challenges. One is that the MDM market has become intensely competitive, with SAP, IBM, BlackBerry, VMware, Citrix, and (most recently) Microsoft all looking for a piece of it.
  • VMware (VMW) made a $1.54B bet on the space in January by acquiring MDM vendor AirWatch. BlackBerry (BBRY), which has added iOS/Android support to its offerings, has made MDM a key part of its enterprise-focused turnaround strategy.
  • The other issue, which also affects larger firms, is that many MDM installations haven’t gone as planned. GigaOm’s talks with CIOs using a “well-known” offering found (among other things) MDM was often “limited to password enforcement and remote wipe,” and that e-mail was “the only widely-supported secure app.”
  • The site adds that while “enterprises have spent millions” on mobile management solutions, most of the software “sits unused because making the pieces work together still proves difficult.”



By |2017-07-22T13:03:06+00:00June 3rd, 2014|Categories: Mobile|Tags: , |0 Comments
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