To: Scrapps who wrote (11272 ) 1/4/1998 11:51:00 PM From: Moonray Respond to of 22053
Microsoft Set to Unveil Palm-Top PC to Compete With 3Com's Redmond, Washington, Jan. 2 (Bloomberg) -- Microsoft Corp. is expected to unveil software for a palm-top electronic organizer to compete with 3Com Corp.'s PalmPilot at next week's Consumer Electronics Show, analysts said. Electronic appliance makers, including Casio Computer Co., are expected to show models of pocket-size organizers that use Microsoft's Windows CE 2.0 operating system at the Las Vegas show, said Rob Enderle, an analyst with Giga Information Group Inc., which provides analysis and advice on the information technology industry. The hand-held systems are expected to be able to recognize handwriting and to exchange real-time data with personal computers, said Scott McAdams, an analyst with Ragen MacKenzie Inc. The latest electronic organizers using Windows CE are designed to tackle the market-leading PalmPilot, which sells for $399 and has made inroads into the corporate market. Windows CE is a key part of Microsoft's strategy of moving beyond desktop software and into Internet appliances for mobile workers and household consumers. The new electronic organizer ''is supposed to be the Pilot killer,'' said McAdams. Easier-to-use handwriting recognition and a lower price -- perhaps as low as $200 -- could be competitive advantages for the new organizers, he said. Few, if any, palm-top computers are making money now, partly because they have been priced too high to appeal to a mass market, analysts said. Microsoft officials didn't return phone calls seeking comment. The Windows CE operating system will generate revenue of $45 million to $50 million for Microsoft, the world's biggest maker of PC software, in the fiscal year ending June 30, 1998, said McAdams. Another $50 million will come from sales of CE through Microsoft's WebTV Networks unit, which makes set-top boxes that link TVs to the Internet. The Redmond, Washington-based company also is expected to announce a car-navigation appliance that uses Windows CE, Enderle said. The system would be similar to compact discs that now are available for guiding drivers to their destinations, he said. o~~~ O