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Technology Stocks : Bluetooth: from RF semiconductors to softw. applications

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To: Mats Ericsson who wrote ()3/22/2000 12:00:00 PM
From: Dennis Roth  Read Replies (1) of 322
 
Web On Hand -- Tiny, handheld Web-access devices
are set to invade the business theater
Source URL: techweb.com
March 20, 2000, Issue: 1606
Section: Technology

Jan Stafford

An insurgency is in the air, or on the airwaves, and the guerrillas are
armed with Web phones. Their mission is to make an army of
Internet-enabled cell phone/PDA hybrid devices bona fide components
of enterprise applications.

Don't scoff, solutions providers: This time around, handheld clients have
the end-user support, carrier infrastructure and the technology to truly
revolutionize network communications.

"Wireless clients are the coming thing," says Roger Kay, an analyst for
Framingham, Mass.-based International Data Corp. "While corporations
are more conservative than consumers and small businesses to adapt to
new technologies, it's just a question of when, not if."

Those who believe this battle will fizzle out have been holed up in their
bunkers too long. The new generation of handheld wireless clients won't
be wacky gizmos pushed only by consumer-oriented vendors anymore.
The enterprise computing industry's big guns-such as IBM Corp.,
Microsoft Corp. and Oracle Corp.-are building an arsenal of new
wireless clients, architectures and applications. Sure, part of this
movement is a landgrab by traditional B2B vendors that want a piece of
the consumer e-commerce market. But all agree their sights are not set
on just the consumer market.

It's a Wireless World

In the corporate marketplace, there is a "huge pent-up demand for
extending applications out to wireless devices" such as PDA-Web phone
hybrids, says Denise Lahey, CEO of OracleMobile, Redwood Shores,
Calif., a wholly owned subsidiary of Oracle. Let's face it, she notes,
laptops are cumbersome to carry. "There are 400 million wireless
devices in use today, but there will be 1 billion in use by 2003," she says.
"We believe that wireless-device access to the Internet and enterprise
applications will exceed PC access in the next year or so."

Corporations are already enlisting. For example, a supplier can now
access auctions on the Oracle/Ford Auto Exchange through a wireless
device like a cell phone. "Bidding on the auctions is very competitive
and is confined to a tight time frame," says Lahey. "So, you can be at
your mother's birthday party or at dinner, get notification that you can
now bid or increase your bid," and do it on the spot.

Savvy integration companies, including CAP Gemini in Europe, are
already enabling enterprise information without wires. AT&T Wireless
has worked with ISVs and solutions providers to develop fleet
management and courier dispatch systems. Some integrators are in the
development phase. For instance, OMI International Inc., Dallas, is
developing Internet-based cell phone and pager systems to help workers
find and deliver needed equipment in a facility.

Still not convinced that handheld wireless devices are enterprise-ready?
Well, Web phones/PDAs may have a way to go, but most insiders expect
this to be the year they make the corporate grade. (See "Bluetooth Takes
a Bite," above, for some recent moves in the wireless client arena.)

Setting Standards

Despite the positive indicators, there are obvious obstacles in the path of
handheld wireless clients. "Bandwidth, keyboard and screen size, high
carrier costs, battery life and processing power are drawbacks of
palm-sized mobile client devices," says Vic Mojo, e-strategy group
managing director for Technology and Business Integrators, New York.

Standards battles-between Palm OS, Microsoft CE and others-and the
diversity of device form factors pose problems for solutions providers.
"These devices are being e-enabled without a foundation of best practices
and standards," says Mojo. "There will be some tough integration
challenges."

There's a crying need for killer corporate horizontal apps that will set the
market on fire, analysts say. Most business applications today are
vertical-specific.

"The business apps are coming soon," says Greg Richardson, vice
president of professional services at Wireless Knowledge, San Diego.
His company is working behind closed doors with ISVs who are
developing business-process applications for technical field service, time
and expense reporting, contracts, product ordering and vertical markets.
"You're going to see some exciting things toward the end of this year,"
says Richardson.

The Bluetooth spec will drive development of new wireless applications
for businesses, says Tim Scannell, an analyst for Mobile Insights, a
market researcher in Mountain View, Calif. (See "True Blue," below.)
"These apps will do more than cut the cable," he says. "They will make
these devices a true extension of the corporate information resources."

Solutions providers have a "great opportunity to write customized applets
for portable devices," says Cal Kenney, director of business development
for Acer America's Consumer Products Division. Once corporate data is
in a Web format, vendors and analysts advise solutions providers to get
informed about PDAs and Web phones and start exploring ways to
extend their enterprise and e-business apps to wireless clients. "There
will be lots of integration and application development opportunities,"
says Kay.

Of course, there's no way that the Web phone is going to deliver the full
capabilities of a notebook PC anytime soon. Then again, many
business-critical tasks done by road warriors simply require a gateway
device to intranet, Internet and enterprise data. Once insinuated into the
enterprise system, the role of Web phones is destined to increase.

--

The True Blue Promise

You're running through the airport, late. You're not worried that your
seat is going to be sold, however, because your Bluetooth-enabled PDA
has automatically communicated your presence to the Bluetooth-enabled
device at your flight's gate.

That's the promise of Bluetooth wireless technology. This specification
sets a standard for small form-factor, low-cost radio communication
between wireless-enabled devices-such as cell phones and notebook
PCs-and also gives them connectivity to the Internet. It is backed by the
Bluetooth Special Interest Group, which includes Ericsson, IBM Corp.,
Intel Corp., Lucent Technologies, Microsoft Corp., Motorola Inc. and
3Com Corp. More than 1,300 companies have signed on to support
and/or create products using the Bluetooth spec.

Bluetooth has its advantages and disadvantages. It gets rid of cabling and
links office devices; when a user with a Bluetooth-enabled palm PC
walks into an office, it will sync up with Bluetooth-enabled devices
installed there, from faxes to printers. But Bluetooth is very limited in
geography, with a 10-meter range. A 100-meter spec is due this
year.-J.S.


varbusiness.com

Copyright ÿ 2000 CMP Media Inc.
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