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MICROSOFT LAUNCHES MSN MOBILE WITH OMNIBROWSE BUY

Microsoft Corp. launched its MSN Mobile service, a wireless extension of its MSN.com Internet portal that allows customers to receive their information services on pagers, cell phones and other wireless devices.

To make this possible, Microsoft May 20 acquired OmniBrowse Inc., a wireless data company specializing in content delivery services for wireless handheld devices.

OmniBrowse service has been re-branded as MSN mobile and its content offerings have been added to that of MSN.

From MSN.com, users may receive information updates from various Internet-based sources, including MSNBC, MSN MoneyCentral, as well as e-mail, address book contact information and calendar features from MSN Hotmail. The company also plans to release an enhanced version of MSN Mobile later this year in conjunction with its upgrade to MSN.com.

Making such wireless portals available to the wireless environment is considered by many to be the next growth phase for wireless services, especially driving wireless data.

“MSN Mobile will have a profound impact on how consumers and businesses use the Web,” said Yusuf Mehdi, director of marketing for the Consumer and Commerce Group at Microsoft. “We believe MSN Mobile will do for the Internet what the cellular phone did for the telephone.”

Similar ventures are under way with other portal companies. Netscape is working with Nextel Communications Inc. for the Nextel Online portal, as well as with Lucent Technologies Inc. to develop the Zingo wireless portal. Yahoo! has been working with Paging Network Inc. for pager-based wireless portal information services, expected to launch soon. Finally, Excite and NTT DoCoMo of Japan have teamed up to offer a wireless information service based on Excite’s Internet portal.

All wireless portal ventures are expected to offer a mix of information services, e-mail and personal information management functions like contact lists and calendar functions.

Wireless Internet portals also were the buzz words of last month’s Wireless Data Forum conference in Monterey, Calif. Analysts believe many such ventures will be launched this year, but are avoiding making any predictions of success.

“Creating a successful wireless data business model is tough,” said Alan Rieter, president of the consulting firm Wireless Internet and Mobile Computing. “Powerful, well-known companies, such as Microsoft and Yahoo!, certainly can help jump-start the wireless portal concept. Indeed, we believe the future of wireless data is dependent upon the willingness of Web-based companies to enter the wireless market. However, a successful, ongoing business requires valuable services for which wireless subscribers or some other party is willing to pay.”

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