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Microsoft-Qualcomm Venture to Begin Tests With Cellular Firms
By Andrew Brooks at Bloomberg News
11 February 1999
WirelessKnowledge LLC, a joint venture between Microsoft Corp. and Qualcomm Inc., expects to begin trials of its cellular Internet access and other data services with wireless-phone providers in the next two weeks.
The services give corporate users of wireless phones and laptop computers access to electronic mail, phone directories and calendars, as well as the global computer network. The services are expected to be available in the second half of this year, Chief Executive John Major said.
No. 1 software company Microsoft and cellular-equipment maker Qualcomm set up WirelessKnowledge last year to develop cellular data services and provide secure links between corporate and wireless networks. The venture is working with cell-phone companies that want to link traveling executives to the Internet when they use wireless phones and laptop computers.
"We're testing and sampling and getting the industry up to speed," Major said in an interview at a trade show in New Orleans. "The second half (we'll) start to roll out real users and high-volume applications."
Earlier this week, Microsoft unveiled an alliance with British Telecommunications Plc, the No. 1 U.K. phone company, to develop data services for BT's wireless network. WirelessKnowledge will have a role in the alliance, Major said.
Though Major declined to comment about specific companies that will test the services, he said all of the carriers that endorsed the venture in November are signed up. Those companies include AirTouch Communications Inc., AT&T Corp., BCE Inc., Bell Atlantic Corp., BellSouth Corp., GTE Corp., Leap Wireless International Inc., Sprint PCS and U S West Inc.
"They're all on board, and more are coming," Major said.
WirelessKnowledge sells its service to the carriers, which in turn sell them to customers.
The venture as acts a go-between for wireless networks and corporate computer networks, ensuring secure links for companies and translating information for wireless users. For example, WirelessKnowledge reformats World Wide Web pages so they're more readable on small phone screens.
"What we're attempting to do is provide for the carriers a common solution set very much like what Visa provided for the banks for (credit card) purchases," Major said.
WirelessKnowledge isn't alone. Other technology companies are teaming up to develop Internet services for cellular networks.
Earlier this week, Netscape Communications Corp. said it will provide Web links for Nextel Communications Inc. wireless customers. Equipment makers Motorola Inc. and Cisco Systems Inc. said they will work together to create standards for a wireless Internet.
Major expects cellular phones equipped with Internet browsers to double the number of users on the Internet. Cell- phone customers will account for more than half of all Internet users by 2003, he said.
For WirelessKnowledge, the added users mean more revenue. The company currently collects fees from phone companies for developing the services and will get added sales as commercial users sign up.
"This could be a very, very big business," Major said. "WirelessKnowledge, as an early play in this field, will get more than its fair share."
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