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Technology Stocks : Extended Systems Inc (XTND) -- Ignore unavailable to you. Want to Upgrade?


To: Mike Sendler who wrote (266)4/25/2000 4:27:00 PM
From: Mike Sendler  Read Replies (1) | Respond to of 403
 
When you see "Palm"- think XTND

yahoo.cnet.com

Palm arms handhelds for
"wireless revolution"
By Stephanie Miles
Staff Writer, CNET News.com
April 24, 2000, 1:30 p.m. PT

Palm executives in New York today promoted the
company's plans to incorporate wireless
communications capabilities into its entire product line and said that
future Palms will see a boost in performance through new processors.

Palm CEO Carl Yankowski told a gathering of reporters and analysts at the
Palm executive summit that by the end of the year, all of the company's
handhelds will be able to connect to the Internet. Palm devices will either
contain receivers for connecting to the Internet directly or a Bluetooth chip that
will allow them to connect to the Web via a cell phone bridge, or they will
come with a cradle or add-on option to facilitate connections.

Whatever the case, the company's handheld devices
will be turned into communications devices, and Palm
itself will become a kind of wireless service provider,
Yankowski said.

"Devices are critical, but they are a means to an end,"
he said. "We're on the cusp of what I believe is a
wireless revolution."

Besides containing wireless technology, some of the
company's handhelds will get a boost in performance
because they will contain components based on
designs from England's ARM (formerly Advanced
RISC Machines). The processors, which are designed
by ARM and manufactured by Intel and others, run at
much higher speeds than Motorola's Dragonball
processor, the current brand found inside Palms.

With a faster chip, Palms will be able to provide voice
activation functions and other features, Yankowski
said. By the end of the year, the company will release
a voice-activated product. The prototype is known as
the "integrated Palm communicator."

As reported earlier this month, Palm's plans are likely to both enhance and
simplify the company's growing product line.

Almost since it began aggressively expanding its products last year to include
wireless Internet access and new designs, the company has taken heat for its
confused product strategy, which runs the gamut from the wireless Palm VII on
the high end to the low-cost Palm IIIe.

The shift to wireless reflects the newly public company's realization that the
market for handheld devices is about to be rocked by the invasion of Wireless
Access Protocol (WAP)-enabled cell phones and wireless devices, which use
the mobile data technology to offer Web content on cell phone screens.

Although Palm enjoys a 70 percent market share in handhelds, both Palm and
Microsoft executives, along with cell phone executives, have acknowledged
that many of the functions handled by cell phones, organizers, pagers and
even music players will converge onto one device.

For its part, Palm says it will gain popularity through its design, which
executives say is better and more stylish than the offerings from competitors.

"I think we all know that the screen sizes suck, and
that the drop-down menus are the road to hell,"
Yankowski said.

Other sources predict that the product relaunch will be
even more drastic. The company may shift to offer
two products--the Palm III and Palm V--and to market
two different versions of each of these: one with
Bluetooth and one with wireless connectivity. The
company also may dump the Roman numerals.

Michael Mace, vice president of product strategy at Palm, earlier this month
said that a re-branding effort was set in stone but indicated that change is
always possible.

The processor switch will allow handhelds to take on a variety of functions
without compromising battery life, according to Linley Gwennap, principal at
consulting firm the Linley Group. Dragonball processors run at below 50 MHz,
and ARM chips run at 200 MHz. Toward the end of the year, new ARM chips
will run at 400 MHz, he said. Faster chips typically mean more powerful
processors.

Voice activation or recognition seems destined to become one of the next
functions adopted because of the limitations of the current Palm input
systems, Gwennap said. With a voice application of some sort, people could
simply dictate their commands rather than wrestle with virtual keyboards or
handwriting recognition. Voice processing is also a processor-intensive
application.

"If Palm doesn't come out with a voice recognition handheld, someone else
will," Gwennap said.

Lernout & Hauspie already has demonstrated a prototype of a handheld that
could run voice recognition software. The prototype contained a 200-MHz
StrongArm processor. Both Hewlett-Packard and Compaq Computer use
ARM processors inside models of their respective handhelds.

News.com's Michael Kanellos contributed to this report.