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To: pat mudge who wrote (950)5/6/1999 12:39:00 AM
From: Mark Oliver  Read Replies (1) of 2702
 
Mobile Information Appliance Market to Surpass Portable PC Market by 2002

MOUNTAIN VIEW, CALIF. (May 4) BUSINESS WIRE -May 4, 1999--

Mobile Insights Expands Coverage of Handheld Computers and
Wireless Data Communications, Adds Dedicated Industry Analyst

Mobile Insights (MI), the leading information source for the mobile
computing and data communications market, projects that the mobile
information appliance market will surpass worldwide unit shipments of
notebook computers
within three years.

Recognizing the growing importance of the emerging handheld computer
market, Mobile Insights is expanding its focus to address the needs of
this market segment by adding a dedicated industry analyst.

The phenomenal growth of the market has been fueled primarily by the
success of Palm Computing's connected organizer. More than three
million Palm devices have been sold since their introduction. The
market expanded further with the introduction of Microsoft's Windows CE
operating system and continued growth is expected.

"The mobile information appliance market will enjoy exponential growth
over the next few years, with annual worldwide sales exceeding 25
million units by the end of 2002," said David Hayden, Mobile Insights'
new senior industry analyst focusing on mobile information appliances.

"Wireless communications will be the catalyst fueling the growth of
this new mobile market, and as the 'killer application,' will lead to
pervasive use of handheld computers."

Mobile Information Appliances Market to Grow

While Windows CE has not been successful in capturing a significant
market share in the mobile information appliance market to date,
Microsoft has managed to attract major OEMs such as Hewlett-Packard,
Compaq, Casio, and many others.

Ultimately, Microsoft's ability to improve its software offerings and
the ability of the OEMs to invest in R&D will lead to market leadership
in the mobile information appliance market. However, Palm Computing
will continue to enjoy the success and market leadership of the Palm
platform as the new millennium approaches. MI expects Palm to continue
to develop its platform to keep pace with technology.

In addition to handheld PCs and palm-size PCs, explosive growth will
also occur in a relatively new category of mobile information
appliances -- SmartPhones. Initially, Symbian (a Psion spin-off) will
play a pivotal role in legitimizing this sub-segment of the mobile
information appliance market through its partnerships with Motorola,
Ericsson and Nokia. Symbian has estimated that it will sell ten million
SmartPhones within the next few years.
Not many?

The first Symbian-based phones, such as the just-announced Ericsson
R380 SmartPhone, will begin to appear in the market early next year,
with 2001 representing the most significant growth year for the
category.

Microsoft is still a wild card in the SmartPhone segment. Its initial
foray into the SmartPhone market has been a service play with the
creation of WirelessKnowledge, a joint venture between Microsoft and
Qualcomm. Microsoft is expected to add a SmartPhone platform for
Windows CE in the near future, but many issues will need to be
addressed before this strategy can become a reality.

Mobile Insights defines mobile information appliances as all handheld
systems that incorporate a computer system and some form of data
communications. This category includes connected organizers like the
Palm systems, palm-size PCs running Windows CE, SmartPhones that
integrate voice and data running the Symbian or Geos OS, and two-way
wireless devices such as the Motorola PageWriter 2000. Not included are
standard voice-only cell phones and receive-only pagers.

Mobile Insights Expands Focus

In recognition of the explosive growth within the handheld computer
market, Mobile Insights has hired a dedicated industry analyst, David
Hayden, who will drive Mobile Insights' initiatives in this emerging
market segment.

Hayden is a 12-year veteran of the mobile information appliance market
and a recognized authority on handheld computers and wireless
communications. He is the author of Teach Yourself Windows CE in 24
Hours published by SAMS Publishing, a division of Macmillan, as well as
numerous articles covering handheld computers and wireless
communications. Hayden comes to Mobile Insights from Phoenix
Technologies, Ltd., where he was marketing manager for mobile
information appliances.

David Hayden joins a team headed up by Gerry Purdy, Ph.D., the
recognized authority on mobile computing. Dr. Purdy, who founded Mobile
Insights in 1994 and was formerly chief analyst for mobile computing at
Dataquest, will continue to focus on the mobile computing and data
communications market. Theresa Nozick, who joined the MI staff as
industry analyst in May 1998, will continue her focus on the notebook
market, and is also the editorial director for the company.

Coverage of the mobile information appliance market will increase in
the MobileTrax online subscription service as well as in the free
Mobile Letter newsletter. Next year, Mobile Insights' sixth annual
conference will split into tracks, giving dedicated conference time to
notebooks, handhelds and data communications.

In addition, MI will sponsor its first "Go Mobile" conference Sept.
21-23 this year, which will be dedicated to an audience of Information
Technology (IT) decision-makers and cover the IT issues surrounding
mobile computing technology. Next week, Mobile Insights will launch
Mobile Perspectives in Taipei, Taiwan, to address key mobile issues for
the Asian market.

About Mobile Insights

Mobile Insights is the world's leading authority on mobile computing
and data communications. Established in September 1994, the company
provides professional services to vendors of hardware, software and
services in the mobile computing and data communications industry.

In addition to market analysis, consulting and publishing, Mobile
Insights' service brands include: Mobile Letter, an electronic
newsletter that provides reviews of new products and offers industry
insights; MobileTrax Online, a syndicated continuous Internet
information subscription service publishing 50+ reports annually; the
Mobility Awards, awards given annually to top products and services in
27 categories; Go Mobile, a new conference for leading Information
Technology decision makers; and the flagship Mobile Insights
conference, an annual conference that brings together 400 to 500 of the
mobile industry's key vendor executives.

Mobile Insights' clients include 3Com (Nasdaq:COMS), AMD (NYSE:AMD),
Compaq (Nasdaq:CPQ), Dell (Nasdaq:DELL), Hewlett-Packard (NYSE:HWP),
IBM (NYSE:IBM), Intel (Nasdaq:INTC), Microsoft (Nasdaq:MSFT), Qualcomm
(Nasdaq:QCOM), Toshiba and more.

For more information on Mobile Insights and its services, visit the
company's Web site at www.mobileinsights.com.

Note to Editors: Brand or product names are trademarks or registered
trademarks of their respective holders.

-0- ari/sf* mr/sf

CONTACT: Walt & Company for Mobile Insights
Jill Martin, 408/496-0900

jmartin@walt.com

KEYWORD: CALIFORNIA INTERNATIONAL ASIA PACIFIC
INDUSTRY KEYWORD: COMPUTERS/ELECTRONICS COMED TELECOMMUNICATIONS
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