iPhone: Not Right For Financial Industry Now, But Survey Shows It Could Be In Future

According to a new survey, most financial services firms are not currently considering using Apple's iPhone on a corporate level - but this could change in the future.Financial services firms cited security and a lack of connectivity and business applications as the major factors currently preventing them from adopting the mobile device.

With the number of security attacks against financial institutions continuing to rise, a huge 92% of those polled said they felt security on the iPhone would have to be improved before they decided to use it at a company level.

In addition, 83% stated that it is not the preferred device for business applications.

The survey was carried out by Pyxis Mobile, which provides wireless applications for the financial services industry. The Waltham, MA-based company polled 39 asset managers and investment bankers from firms with an average 20 billion dollars of assets under management.

The iPhone won't allow you to use your corporate email on the device, and those questioned confirmed that the device's lack of Outlook connectivity is currently hindering its adoption in the financial industry.

Financial managers also fear the iPhone's entertainment applications - such as the YouTube applications which lets users watch over 10 million free videos from the popular Internet Web site, and the iTunes Wi-Fi music store - will decrease their employees' productivity.

Nevertheless, Pyxis found that the iPhone's interface and Safari Web browser are so popular that if Apple can resolve security, connectivity and third-party support issues, the financial industry may well jump on the iPhone bandwagon.

The survey found that 92% favor the iPhone's web browser and 66 percent say they prefer its interface compared to other mobile devices, such as the BlackBerry.

"The iPhone could be included in the enterprise buy list if some of the security and connectivity issues this survey revealed are addressed," Pyxis CEO Shane Hughes said. "While the iPhone offers stunning technology and a unique user interface, Apple will need to enhance security features, increase battery life, and provide access to Outlook Exchange and other business applications to capture significant market share within the financial services industry,"

In the meantime, most of the financial managers surveyed said only 5% or less of their firms' employees had inquired about support for the iPhone. No respondent indicated that more than 10% of their staff had made the request. Melanie Rodier has worked as a print and broadcast journalist for over 10 years, covering business and finance, general news, and film trade news. Prior to joining Wall Street & Technology in April 2007, Melanie lived in Paris, where she worked for the International Herald ... View Full Bio