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Palm Predicts Data-Centric Handheld Devices Will Become Cornerstone of the Mobile Enterprise
NEW YORK, Yankee Group Conference, Jun 24, 2002 - In a presentation made here today at the Yankee
Group conference, Palm, Inc.'s (Nasdaq: PALM) senior vice president of Marketing and Product Management, Ken Wirt, stated that enterprises
need what data-centric, handheld solutions offer. He predicted that competitive enterprises of the future will require wireless, mobile solutions that
can handle complex corporate applications. With a focus on data-centric devices vs. voice-centric devices in the enterprise, Palm is delivering
elegant, mobile communication solutions that help businesses increase productivity and responsiveness by keeping their workforces connected while
on the go.
As enterprises identify access to specific corporate applications and email as must-have wireless functionality(1), demand for data-centric devices
will continue to grow. Yankee Group forecasts that by 2005 more than 42 million people in the enterprise will wirelessly exchange emails and
manage other data applications(2). With more than 17 million Palm(TM) branded handhelds in the marketplace today, Palm fully intends to meet this
demand with two kinds of wireless solutions, providing options for individuals who want one device, or a combined two-piece solution.
"Voice-centric devices such as smart phones are beginning to gain a lot of industry attention," said Wirt. "To date, smart phones on the market are
built for both voice and data, but do not optimize either function. They are too big as phones and too small as PDAs. Palm is focusing on
data-centric solutions, and we see voice as an added application. In the enterprise, mobilizing corporate applications is the next wave in increasing
company productivity, and wireless devices with larger displays are best-suited to meet these mobile data needs."
Data-centric Solutions
Connectivity today is made up of three types of wireless networks: Personal Area Networks (PAN), Wide Area Networks (WAN), and wireless
Local Area Networks (W-LANs).
Palm's wireless strategy for the enterprise consists of both one- and two-piece data-centric solutions that enable customers to navigate all three
types of networks for fluid connectivity. Palm's one-piece email solution for mobile professionals, the Palm i705 handheld, was introduced in late
January and addresses the WAN space. The i705 combines widely used applications -- email, messaging and personal information management
(PIM) -- into a single, sleek compact package. Palm also plans to ship its behind-the-firewall, server-based email solution, the Palm Wireless
Messaging Server software, later this year.
"Enterprise applications require wireless, data-centric devices to handle functionality such as customer relationship management and sales force
automation," said Wirt. "Palm solutions are about sleek form and fluid connectivity that connect users to information they need."
Palm's two-piece wireless solution is based on Bluetooth, a PAN technology. Inserting the Palm Bluetooth Card into the expansion slot of a Palm
handheld enables the handheld to "talk" with Bluetooth-enabled phones, printers, laptops and other Palm handhelds within 30 feet. Paired with a
Bluetooth phone, the Palm handheld can wirelessly connect to the Internet to access the user's email accounts, SMS messaging and other web
content(3).
W-LANs are based on another two-piece solution, WiFi (or 802.11), which enables wireless local area access to corporate networks, email and the
internet. Current models of Palm handhelds can be used with a Xircom sled to access 802.11 networks.
Carrier Strategy
Palm is working with carriers to make wireless communications solutions more readily assessable. Adding customized applications to the Palm
handheld can create a "carrier-branded" data solution. Cingular Wireless plans to offer a bundled solution consisting of the Sony Ericsson T68 phone,
the Palm Bluetooth Card and the Palm m515 color handheld. Palm plans to work closely with a range of carriers to determine the best relationships
that can deliver the best solutions for customers.
About Palm, Inc.
Information about Palm, Inc. is available at www.palm.com/aboutpalm.
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