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Converged devices give Wi-Fi credibility

The launch of converged mobile devices, capable of communicating over
both Wi-Fi and cellular technologies, suggests Wi-Fi, long hailed by start-up
companies and tech-savvy consumers, may be gaining credibility among the big
names in wireless.

The launch of such integrated devices could also put
investor doubts about the topic to rest, analyst Albert Lin of American
Technology Research predicted earlier this month. “We believe Wall Street’s
inability to comprehend the link between VoIP (a hot area) and Wi-Fi (a
perceived `bubble’ area) shows a lack of understanding of the natural link
between these technologies,” Lin said in a research note.

Motorola Inc.
last week unveiled its Enterprise Seamless Mobility Solution that allows users
to seamlessly switch between outside GSM networks and enterprise 802.11-based
wireless local area networks for both voice and data.

The centerpiece of the
solution is Motorola’s new CN620 mobile office device (MOD). The device,
described as “an enterprise phone and not a cell phone,” seamlessly
switches from voice and data networks inside and outside the office, enabling
users to be reached anywhere at one phone number.

Enterprise-centric features
like call hold; conference calling; multiple simultaneous active calls; and
access to corporate e-mail, data, applications and directories are all
accessible from the device, even from an outside cellular network. The device
also includes push-to-talk capabilities that work inside and outside the
office.

Also featured is Motorola’s Wireless Services Manager, which
facilitates seamless switching between an enterprise WLAN and an outside
cellular network. The component also enables the enterprise telephony functions
to be extended into the cellular network and provides security. Meanwhile, the
Network Services Manager provides system administration tools to configure and
manage the entire solution.

Avaya and Proxim provided WLAN infrastructure,
including the new W310 gateway and the W110 access point, for the solution and
joined with Motorola to announce the Seamless Converged Communications Across
Networks Forum to further drive certification and interoperability of such
solutions.

The solution, which will be sold to enterprises through Avaya, will
initially go to market with one carrier, which Motorola declined to disclose.
The CN620 device will be available as part of the overall solution in the fourth
quarter for an undisclosed amount. Avaya’s W310 gateway will sell for around
$9,000, and the W110 access points will cost $500.

Hewlett-Packard Co. also
last week launched a new suite of HP iPAQ handheld devices and announced an
alliance with T-Mobile USA Inc. to further expand its iPAQ line-up into the
converged voice and data market.

The new iPAQs include the iPAQ h6300 series
Pocket PC that features integrated three-way wireless capabilities, allowing
users to access data, e-mail and the Internet via GSM/GPRS, Wi-Fi and Bluetooth
technologies.

From that series, the HP iPAQ Pocket PC h6315 will be available
exclusively through T-Mobile USA. The device is capable of connecting to the
fastest-available network, automatically switching to an alternate network
should the initial connection be lost. Data from the device can be automatically
sent and synchronized with the Microsoft Exchange Server 2003 via Wi-Fi or
T-Mobile USA’s cellular network.

“Easier access to e-mail, integrated
wireless connectivity, keyboard and even a camera-it’s everything you could want
in a device,” said Scott Ballantyne, vice president of business services
marketing for T-Mobile USA.

The device is expected to become available for
purchase online and in stores for $500 later this summer.

Motorola and HP’s
announcements follow news from NTT DoCoMo Inc. last month that it is developing
the N900iL, a dual-network handset that runs on its third-generation FOMA
network and internal corporate WLANs. The handset is scheduled to be available
this fall.

DoCoMo’s solution targets corporate users and will be marketed
though DoCoMo’s corporate business division and its partners, but not sold in
DoCoMo retail shops.

Users can receive calls from both networks by setting
the handset to dual mode or can prioritize calls from either network. The phone
features a browser that allows users to view schedules, Web mail and documents
from intranet servers, and it includes video and camera capabilities.

The
phone also offers benefits among users within the same WLAN. For example, the
“presence function” indicates the status of the called party when a
call is made between two N900iL handsets working on the same WLAN network. In
addition, users can instant message between two handsets working on the same
corporate network.

More such devices are likely on the horizon, and handset
manufacturers are not the only parties that stand to benefit. Calypso Wireless
Inc., for example, plans to conduct initial field trials of handheld wireless
devices using its patented ASNAP technology, which enables mobile devices to
seamlessly switch from a cellular tower wide area network to a Wi-Fi LAN, during
the fourth quarter.

Meanwhile, Gartner Inc. said personal digital assistants
are finally gaining market share, and appear to not yet be threatened by
smart-phone sales.

“Smart phones will continue to impact the PDA market.
However, the high prices of smart phones and their relative immaturity will
prevent a rapid shift from PDAs,” said Todd Kort, principal analyst in
Gartner’s computing platforms worldwide group. “Instead, the vast majority
of smart-phone sales in the next year will be to individuals upgrading their
cell phones.”

According to the analyst group, PDA shipments totaled 2.75
million units in the second quarter of 2004, up 12 percent from the second
quarter of 2003, ending 10 consecutive quarters of shipment declines. Gartner
expects total PDA shipments to reach 12 million units for full-year
2004.

Gartner said Research in Motion’s BlackBerry shipments increased 289
percent in the second quarter, and Hewlett-Packard’s PDA shipments increased
38.9 percent.

For PDA operating-system shipments, Palm OS garnered
41.7-percent market share for the second quarter, down from 51 percent for the
year-ago period. Windows CE’s market share reached 36.6 percent, up slightly
from 36.3 percent last year, and RIM’s share increased to 18.6 percent from 5.3
percent last year.

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