FIGURE A

The annual total cost of ownership per device is shown here. Click picture for a larger image.

According to the paper, "These figures represent the annual total cost of ownership per device amortized over the mean lifetime of the unit and includes the per unit costs of add-on hardware and software (not in-house developed software), IT services, help desk and support, training, airtime charges, adjusted for average annual replacements due to loss and breakage."

Base unit cost
The report states that the base unit cost of a Palm OS handheld was on average 52% less than a Pocket PC device. Fully loaded with add-on software and hardware accessories, Palm OS devices were 40% less than Pocket PC devices.

When it comes to hardware and software add-ons, Palm really came out on top on the software side. While the difference in the cost of accessories was pretty small, the average cost of software add-ons for Pocket PC devices was nearly twice that for Palm OS devices. This is shown in Figure B.

FIGURE B

Software and hardware add-on prices are compared. Click picture for a larger image.

In this study, add-on software was considered to be any additional third party package not part of the standard handheld configuration.

Need for IT services
The study reported that for both types of device, the average lifetime was about the same, as was the annual replacement rate from loss, theft, and breakage. However, Pocket PC mobile solutions were found to require more frequent reinstallations/set-ups, data recovery, and general service depot requests.

Software distribution and management costs
Software distribution costs were found to be lower for Palm OS solutions due to the higher frequency of operating system and application updates, in general, performed for Pocket PC mobile solutions.

Need for training
On the one hand, users of Pocket PC solutions remarked to Gantry Group that their applications running on Pocket PC devices were complex, sophisticated, and data intensive. On the other hand, Gantry Group points out, these attributes are consistent with the greater need for IT services for set-up and orientation, trouble-shooting and data recovery, and time to become proficient. Gantry Group also reported that, "Some Pocket PC users noted frequent needs for application updates due to highly advanced functionality which would tax the IT services group for software distribution and version control."

Other study findings
The White Paper also listed some other interesting findings in regard to corporate purchasing guidelines, synchronization policy, and centralized server synchronization. Over 70% of the enterprises participating in the study reported having corporate purchasing guidelines and mandates in place, over 75% of the enterprises in the study had plans for or deployed a formal corporate synchronization policy, and over 85% of enterprises participating in this study used a centralized corporate server as the means for collecting and disseminating business knowledge.

Also, PalmPower's Enterprise Edition recently ran an in-depth study of TCO and ROI (Return on Investment). Read all about it at http://www.palmpowerenterprise.com/tocs/issue200109.html.