Japanese to take on Microsoft
by Bloomberg
TOKYO: Major Japanese electronic appliance and computer makers including Toshiba and NEC will challenge the dominance of Microsoft's Windows operating system by jointly developing new operating-system software based on the Linux system.
A group of electronic appliance makers, along with computer software developers and two universities, have formed a consortium to develop the new Linux-based operating system.
They hope the system will link products such as audio and video equipment, cellular phones and car navigation equipment, according to TurboLinux KK, the Japan unit of TurboLinux, a supplier of Linux software and other computer support services.
Linux is available free to any computer user, and is a rival of Microsoft's Windows OS. Named after its Finnish creator Linus Torvalds, Linux is an open-source operating system allowing easy revision and requiring no licensing fees, unlike Windows. Linux has gained popularity worldwide for use on computer network servers in particular because of its stable performance.
The 24-member group, Embedded Linux Consortium, also includes Hitachi, Fujitsu, Mitsubishi Electric and Canon. Sony was also considering joining the consortium, TurboLinux said after earlier stating Sony had already joined.
``In addition to electronic appliances, we will target anything that can be linked to the Internet,'' said consortium chairman Tatsuo Nakajima.
``That includes personal digital assistant equipment.''
The move is a direct challenge to Microsoft's dominance of operating systems.
An estimated 90 per cent of personal computers worldwide run Microsoft software, including Windows and Windows NT operating systems.
``It's impossible anymore for one company to develop operating software that can become a widely shared asset, like Microsoft did,'' Mr Nakajima said.
Microsoft, the world's No1 computer software maker, has announced it will introduce a Japanese version of its Pocket PC, a hand-held data storage and information device, which was introduced in the United States in April. The Pocket PC runs on the Windows CE operating system, a version of Windows.
Redmond, Washington-based Microsoft is seeking to take the leading role in building operating system standards for electronic appliances. The company has invested US$7 billion (HK$54.6 billion) in cable and telecommunications companies to push interactive TV, and hopes its technology will become the standard. The company wants to integrate more TV content onto personal computers.
Meanwhile, Sony said it would launch two new hand-held computers in Japan on September 9 and in the US market later this year, joining the fray in an increasingly competitive global market.
Sony set an initial monthly production target of 50,000-100,000 of the new devices, which it expects will retail for about 55,000 to 60,000 yen (HK$3,960-HK$4,320) each. The devices use application software developed by Palm, which struck a licensing agreement with Sony last year.
Mobile computing is considered a strategic piece of Sony's drive to lead the development of home digital networks that link digital televisions, set-top boxes and other devices.
Sony's shares were down 2.5 per cent at 10,550 yen in early afternoon trade yesterday, in line with general weakness in the Tokyo stock market, partly reflecting unexpected bankruptcy announcement by department store Sogo on Wednesday.
The palm-size PC - a prototype of which was unveiled last month in New York - features Sony's chewing gum-sized Memory Stick storage device and a jog dial allowing users to scroll and to open applications without a pen-like stylus.
The launch will propel Sony, the world's second-biggest consumer electronics maker, into the hotly competitive market for hand-held organisers first made popular by Palm.
Others vying in the market include software powerhouse Microsoft and Handspring, founded by the creators of the Palm.
``We hope Sony's entry will reinforce the strength and showcase the creative applications enabled by the Palm OS platform,'' said Palm chief operating officer Alan Kessler.
Sony's recently appointed president and chief operating officer Kunitake Ando has positioned mobile hand-held computers as one of the company's four core electronics products, along with the PlayStation home game console, digital television set-top boxes and the Vaio PC.
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