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To: Freeflight who wrote (31221)5/25/1999 10:20:00 AM
From: Moonray  Respond to of 45548
 
Dataquest Sees Surge In Handheld Computer Market
Reuters - 02:26 a.m. May 25, 1999 Eastern

NEW YORK (Reuters) - Handheld computers like 3Com Corp.'s Palm
Pilot and similar devices running Microsoft Corp. software are projected
to ship nearly 50 percent more units this year than last, a market researcher
said Monday.

Dataquest Inc., a unit of market research firm Gartner Group Inc., forecast
that more than 5.7 million handheld computer units will ship worldwide in
1999, a 47 percent increase over 1998 levels.

The handheld market is expected to continue to grow more than 30 percent
per year through 2003, when total worldwide handheld shipments are
expected to reach 21 million units, according to Dataquest.

Handheld computers offer fingertip access to information, synchronization
of schedules with other computers, and immediate access to key data.

Scott Miller, a Dataquest mobile computing analyst, said he expects
handheld computer shipments to grow at rates two to three times faster
than personal computers, propelled by new wireless Internet links such
devices are now incorporating.

By 2003, PC shipments are expected to hit 178.9 million with revenues
creeping past the $215 billion mark, according to Dataquest.

In revenue terms, the worldwide handheld computer market is expected to
reach $7.2 billion in 2003, up from $1.6 billion in 1998 and an estimated
$2.3 billion in 1999.

''In 1998, the handheld computer market crossed the important
billion-dollar sales threshold and is well on the way to reaching critical
mass,'' Miller said, driven by the growing corporate use of such devices.

Dataquest expects that handheld computers based on 3Com's PalmOS and
Microsoft's Windows CE will gain market share at the expense of
competing devices that run on captive software systems from individual
computer makers.

PalmOS and Microsoft's Windows CE are forecast to account for 92
percent of the market by 2003, up from 67 percent of total handheld
shipments in 1998, Dataquest predicted.

Miller said he anticipates Palm will continue to beat Microsoft in total
shipment of handheld devices, even though the Seattle-based software
giant will continue to gain ground.

Separately, 3Com Corp. said Monday it began selling its new Palm VII
wireless handheld computer, which supplies remote access to e-mail, the
Internet, and instant messages. The unit is available now in New York,
New Jersey and Connecticut and will be offered nationwide later this year.

In addition, retail scanner manufacturer Symbol Technology Inc. unveiled
Monday a range of wireless, pocket-sized computers based on 3Com's
Palm III computers. Symbol said staff at Famous Footwear, a 900 outlet
shoe retailer, would be the first customers for the new devices.

Copyright 1999 Reuters Limited. All rights reserved. Republication and
redistribution of Reuters content is expressly prohibited without the prior
written consent of Reuters. Reuters shall not be liable for any errors or
delays in the content, or for any actions taken in reliance thereon.

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