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To: MileHigh who wrote (53475)12/10/1999 2:36:00 PM
From: Ruffian  Respond to of 152472
 
Wireless Knowledge sees no threat from
Ericsson venture
By Corey Grice
Staff Writer, CNET News.com
December 10, 1999, 11:10 a.m. PT

Wireless Knowledge executives are not phased by Microsoft's recent wireless
partnership with Ericsson, despite having formed a similar pact with the software
giant less than a year ago.

Executives said today the new venture, intended to develop mobile Internet access
services, is "complementary" to Wireless Knowledge's deal and will only help generate
demand for the venture's remote access service for businesses.

Wireless Knowledge, a venture between Microsoft and wireless firm Qualcomm, is one of
several companies aggressively targeting the wireless data market by offering services for
business users on the go. Many analysts believe the mobile data market will explode in
the United States in the next few years as technology improves and the cost of mobile
phones fall.

Wireless Knowledge offers mobile access to email, but
does not yet provide wireless Net access or other
e-commerce functions. Wireless Knowledge since its
inception has been slow to get its services off the ground,
and recently named a new chief executive.

Although some could read Microsoft's new deal as a shot
at Wireless Knowledge, executives see the alliance as
helping their cause.

"We see [the Microsoft-Ericsson deal] as very
complementary to us," said Jinny Beneke, vice president of
marketing for Wireless Knowledge. "It's just one more force
that will drive the adoption of wireless data."

Microsoft often invests in or partners with competing
technologies, waiting for the market to shake out before
striking with a decisive strategy of its own. However, many of Microsoft's forays into
communications have been met with mixed results.

Wireless Knowledge executives said ties between the Ericsson alliance and their own are
obvious. Ericsson makes both mobile handsets and back-end wireless equipment, but
Wireless Knowledge provides the optimization services that tie that hardware together.

Wireless Knowledge works with wireless carriers to make sure their networks can support
Revolv, a service that provides mobile remote access to corporate applications such as
email, shared calendar and contact information, and other Microsoft Exchange
server-based applications.

"We provide the services, applications, integration and optimization that sits between the
infrastructure and the handsets," Beneke said. "We see the Ericsson-Microsoft play as
focusing on the two end-points that will drive the need for services in the middle."

Indeed, the Ericsson alliance gives Microsoft a ready-made customer for its microbrowser
software, which allows mobile handsets to carry Web sites and other Internet content.
Qualcomm, in contrast, has announced its intention to sell its handset production
business by the end of the year.

In an interesting twist, newly installed Wireless Knowledge chief executive Eric Schultz,
formerly Microsoft's director of wireless strategy, was instrumental in forming the
Ericsson-Microsoft partnership.

"Obviously he didn't see it as a big threat," Beneke said. "It just fills out the whole
spectrum of wireless options for Microsoft and is great news for the wireless data industry.
The more it raises awareness of wireless data the more it drives the need and demand for
our services."



Related news stories
• Microsoft venture struggles to sharpen its focus November 23, 1999
• Ericsson, Microsoft create wireless Net company December 8, 1999
• Microsoft alliances need more than cash to thrive December 8, 1999