OT S3 Reaches Into Handheld Market
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(10/10/00, 12:50 p.m. ET) By Mark Hachman, TechWeb News S3 Inc. has entered the "connected PDA" market through a partnership with U.K software provider Psion Computers Plc.
S3 Inc., Santa Clara, Calif., will ship the Diamond Mako to leading U.S.- and U.K.-based retailers the week of Oct. 16, the company said. The Mako organizer is the U.S. derivative of the Psion Revo Plus, shipped by Psion in Europe last month.
"The Diamond Mako, our first joint consumer product with Psion, gives professionals on the go everything they need in a compact seven-ounce package," said Andrew Wolfe, chief technology officer for S3 (stock: SIII), in a statement. "A well designed and future-proofed device, Mako is a 'grown-up's PDA' and a strong first step with Psion in pursuing opportunities in handheld and wireless technology markets."
Mako features the Psion operating system, an organizer, spreadsheet, e-mail, and Web browsing applications, all stored in 16 Mbytes of memory. The device features an integrated 56-kbit modem for remote applications, and it can synchronize with a PC via a docking cradle.
The device is built within a clamshell form factor, with a 480 x 160 pixel black-and-white display, powered by a 32-bit, 36-MHz ARM. Two embedded, rechargeable batteries provide 12 hours of battery life.
According to industry executives, the form factor -- followed by battery life -- are the most important features of a handheld. "Palm crossed a threshold because it comfortably fits within a shirt pocket," said Robert Morris, vice president of personal systems and research for IBM (stock: IBM), and director of IBM's Almaden Research Lab in San Jose, at The Microprocessor Forum Tuesday morning. "I don't even notice it."
The Diamond Mako is expected to be available through such national retailers as Best Buy, Circuit City, CompUSA, Frys, Staples, Amazon, Buy.com, Cyberian Outpost, Egghead, Mobile Planet, and S3's eStore, for a suggested price of $399.00.
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S3 introduces glittering PDA jewel This month's introduction of the Diamond Mako PDA is the latest step in S3's transition from a graphics chip maker to a digital media company.
By Richard Shim, ZDNet News October 10, 2000 2:15 PM PT
S3, Inc. announced plans to enter the wildly popular PDA market later this month with its new Diamond Mako, the first product released under a joint marketing agreement with Psion PLC.
The agreement, announced in mid-September, allows Psion to use the S3 and Diamond brands to market and distribute products in North America. Over the long term, the deal will allow S3 (Nasdaq: SIII) to work with Psion and its Symbian spinoff to develop PDAs with wireless capabilities. "Psion just hasn't gotten the exposure it needed to grow here in the United States. The Diamond brand will help that," said Paul Crossley, product marketing manager for the Diamond Mako. "With that exposure, the device will be able to stand on its own two feet.
The Diamond Mako release is the latest step in S3's transformation from a graphics chip manufacturer to a digital media company. Since selling its chip business in August, S3 has focused on its Rio line of MP3 players and home networking products. It also spun off an Internet appliance company, Frontpath, in late September.
Psion was one of the first companies to focus on PDAs but it quickly lost market share when Palm devices hit the streets. So far, Psion has been unable to capitalize on the PDA frenzy in the United States although it has been holding its own in Europe, where its market share is second only to Palm, Inc..
Building a new market "We don't need to take Palm over," Crossley said. "We just need to address our target audience and build a solid market base and work to develop new products."
Psion shipped a device similar to the Diamond Mako -- called the Revo Plus -- in Europe last month. But it will not release the Revo Plus in the United States.
The $399 Diamond Mako will be available from retailers -- including Best Buy, Circuit City, Amazon, Buy.com and S3's eStore -- beginning the week of Oct. 16.
The Mako, which will run on the EPOC 32 OS version 5.01, has a clamshell design and comes with a keyboard and 480x160 monochrome touch-screen display. Built-in applications include an organizer with spreadsheet, word processing, e-mail and web browsing capabilities.
The device boasts a 32-bit 36MHz ARM processor with 16MB of RAM. It uses a serial port docking station to connect to a PC and its two rechargeable batteries are expected to last 12 hours per charge.
IDC analyst Kevin Burden said the device was a curious move for S3. Neither the case design nor the EPOC OS have been popular in the United States, he said, so it is odd that the company would choose Psion as a PDA partner.
Meanwhile, Palm (Nasdaq: PALM) and Microsoft (Nasdaq: MSFT) have been busy signing up OS licensees. Handspring, Inc. and, more recently, Sony Corp. are manufacturing Palm-based devices. And Microsoft has signed Compaq Computer Corp., Hewlett-Packard Co., and Casio, Inc. as Pocket PC hardware partners.
Another hurdle facing the Mako will be the widely anticipated release of version 6 of the EPOC OS, which will include wireless capabilties. Analysts believe EPOC units will become more popular with the new release, but the new Mako cannot be upgraded to the new OS. |