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Tracking the online media to bring you the key e-business trends


February 21, 2000

Make way for 'Internet Everywhere' 

Until now, “going online” in North America has generally required access to a computer or network that is hardwired to the world through phone lines. This is now changing as new wireless devices begin to deliver anywhere, anytime access to the Net.

The availability of wireless Internet access will fundamentally change how we interact with the Internet.  It will make the Internet even more central to our daily activities, opening the door to a wide range of content and services designed specifically for the mobile user. Applications underway or planned include: enhanced e-mail and messaging; the ability to complete financial transactions over wireless devices; news, sports and financial alerts, and even traffic-monitoring services that tell us which street will get us to work faster. 

As was the case during the early days of the Internet, this has spawned a rush of activity from hardware manufacturers, infrastructure suppliers, application developers, service providers and content producers seeking to position themselves as the leaders in this new frontier.

New Web, New Devices          

In this new world of the “Internet everywhere,” the most visible change for the consumer will be in the devices they use to access the Internet. 

One device that is receiving the most attention is the common mobile phone. Easy to use, widely available and Internet-ready, digital phones are the most popular tool for accessing the wireless Internet.  In Japan, where mobile phone use far exceeds North America, one-third of Japanese Internet users already access the Net exclusively over their mobile phones.  IGI Consulting Group recently predicted that by 2003, the number of people accessing the Internet by mobile phone will exceed those using PCs.

Aiming to capitalize on the popularity of Internet-enabled phones, Bell Mobility recently launched  Canada’s first Digital PCS smart phone.  The phone features an 11-line screen, e-mail and limited Internet access.  Among the early services that will be featured include: access to Yahoo! Canada; online music sales through HMV.com; GetThere.com’s wireless travel services, and a range of enhanced services and promotions available to some credit-card holders.

Also quickly emerging are a new generation of interactive pagers. Leading the charge is Research in Motion (RIM), with its interactive “BlackBerry” pagers. The Waterloo, Ontario-based company’s pagers let users send and receive e-mails and also provide limited access to their desktop computers.  While the portion of the population that needs e-mail access 24-hours per day is small, these pagers have been highly sought after by professionals in time-sensitive jobs, such as financial professionals and technical support staff. RIM has so far signed major distribution deals with Dell and Intel and has sold its pagers to most major U.S. securities firms.  Most recently, it reached a major deal to provide Salomon Smith Barney, the securities unit of Citigroup, with 2,500 devices.

While early attempts to bring wireless Internet access to portable computers such as Palm Pilots have had only limited success, new computing devices designed specifically for access to the Internet may hold the key to providing complete access to the wireless Internet. Among the earliest of these is a Web Pad that will give users untethered access to the Internet while they roam freely in their home or offices. Created with Transmeta’s revolutionary new Crusoe microprocessor, the Web Pad – which is roughly the size of a coffee-table book -- will have more power than most of today’s home computers while consuming one-tenth of the energy. The pads are expected to become available in mid-2000 and should retail for less than $1000 U.S.

Although the growth of mobile Internet devices is still in its earliest stages, these tools foreshadow the future of computing and the Internet.  Speaking at the recent Symbian Developer Conference , the CEO of Qualcomm predicted that wireless devices will soon become so cheap that we will have them embedded in our wristwatches or even sewn into our clothing.   The growing popularity of wireless, Internet-enabled devices and applications will undoubtedly continue to fuel the growth, pervasiveness and usefulness of the Internet.

 

 

Related links & sites

Forget dotcoms. Wireless is where it's at (ZDNet News)
Who Needs a PDA?
  (Industry Standard)
Internal email discloses Microsoft's wireless plans
(CNET News)
Psion to put the Internet in your pocket
(Reuters)
In Japan, the Internet Without the PC
(Washington Post)
RIM shares rise on Salomon deal
(Bloomberg)
Silicon Spin on Transmeta
(Video broadcast from ZDNet)
Bell Mobility and NeoPoint Bring First Digital PCS ‘Smart Phone’ to Canada
(Bell Mobility press release)
New Internet Access Devices to Surpass Consumer PCs in Shipments in 2002
(International Data Corporation)
Wireless Craze
(Upside Today)
PCs for Wireless Wandering
(Wired)
Full Coverage – Wireless Communications
(Yahoo!)


E-Business Watch is published solely for informational purposes and is not a solicitation or an offer to buy or sell any stock, mutual fund or other security. E-Business Watch does not attempt or claim to be a complete description of the markets or developments referred to in the material. All expressions of opinion are subject to change without notice. The information is obtained from sources which 4SP considers reliable, but has not independently verified such information and does not guarantee that it is accurate or complete. The E-Business Watch is not intended as investment advice.