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NEXT GENERATION DEVICES

NEXT GENERATION DEVICES. Jim Conti, Vice President. Digit Wireless. “ The market for stand alone handhelds is stagnant, but the market for telephony-enabled devices is increasing rapidly ” Alex Slawsby, Research Analyst, IDC RCR, 3/31/2003. Sneakerphone.

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NEXT GENERATION DEVICES

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  1. NEXT GENERATION DEVICES Jim Conti, Vice President DigitWireless

  2. “The market for stand alone handhelds is stagnant, but the market for telephony-enabled devices is increasing rapidly” • Alex Slawsby, Research Analyst, IDC • RCR, 3/31/2003

  3. Sneakerphone • New category, appealing to youth market and more casual business attire • Largest color screen of any converged device • Choice of left or right shoe models • Auxilary battery option in opposite shoe

  4. Work PC Set Top Box Games Console Home PC Web Pad PDA Universal Internet Access Internet Fax Secure personal data Corporate data WAP Phone Agenda Messaging Contacts WID

  5. Why are the Devices important • 406 Million handsets in 2002 • 446 Million projected by end of 2003 • 43% of handset sales=new subscribers in 2002 • Terminals are the gateways to services and applications • Terminal functionality is increasing • Ease of use=USE • Mobile Applications (HDTV)

  6. Device Categories • Basic Phone • Enhanced Phone • RIM client Blackberry*, AIM • Smart phone • Microsoft Smart phone OS* • Clamshell type PDA • Handspring Treo • Tablet PDA

  7. Basic phone:-51% • Enhanced: 22% • Smart phone: 189% • Clamshell PDA: 134% • Tablet PDA: 156% Source:Gartner Dataquest, January 2003

  8. Market Drivers • The Wireless Carrier: • Mobile data and content • Gaming, news and information, m-commerce • Enterprise Applications • Youth focus and adoption • Increased advertising (American Idol) • 2.5G/3G networks are launching • Messaging, USA/Europe, SMS. MMS, IM • 1 Billion SMS messages per month (GSM Association) • Mobile email (carrying 2 devices) • RIM Blackberry/Treo success

  9. Market Drivers • Falling Handset Prices • Market penetration and falling voice revenues • Data speeds are coming up • Competition and number portability • Device availability and options • Content providers • New and innovative ODM’s • Portal providers • SMS.ac, UPOC, Fox TV, Club Nokia

  10. Market Resistance • The Wireless Carriers • Wireless coverage/voice and data • Carrier rollouts/Market License • Technology of networks (GSM/CDMA) • Education • Consumer and Point of Sale • Mobile experience versus “PC” • Lack of content and the “killer application” • Lack of devices to support network and content • Confusing and non-competitive Pricing models

  11. Market Resistance • The Handsets and Devices • Lack of processing power • Screen size • Network compatibility issues (within carrier) • GSM vs. CDMA (some Analog) • Size • “2 devices”, one for voice and one for data • User Interface*

  12. Market Resistance • User Interfaces for Mobile Data Input** • Triple Tapping • Predictive Software:Tegic T9, iTap, Zi • Stylus based • Handwriting Recognition • Voice Recognition • Keyboards (“PC like”) • Accessories: Folding, chatboard, etc. • QWERTY, universal?

  13. NEXT GENERATION DEVICES What’s new?

  14. Research In Motion • Blackberry 6210 • Mobile email • GSM/GPRS • Voice (speaker and mic) • Full QWERTY • Web applications • No pricing

  15. PC E-Phone • 10 ounces with a 640x480 display on a 4" LCD touch-sensitive screen. • Cost $1,500 to $2,000 range initially but expects prices to fall to around $1,200.

  16. Kyocera 7135 • Clamshell PDA • CDMA only • Palm OS • Wireless email • Surf the web • MP3 player • $699 (no service)

  17. Panasonic GD** • Prototype* • Ti OMAP • Fastap keypad • Camera • Messaging • Data Capable • No price published

  18. Wildseed • Kyocera “Kurv” • “Smart skins” • MP3 player • Airtext messaging • Camera • Internet browser • No pricing

  19. Orange SPV Smart phone • MSFT Smart phone OS • Ti OMAP • GSM only • Color screen • T9 predictive text • MSN capable

  20. Palm Tungsten • Palm OS • Ti OMAP • Voice and Data • Color Screen • Graffiti • Full keyboard • $549

  21. Handspring Treo • CDMA/GSM • Palm OS • Web browsing • Full QWERTY • Color screen • Email and Organizer • $299-$399 “We absolutely see this as where the market is going”- Joe Sipher, VP of Marketing

  22. Tablet PC • Notebook evolution • Pen based text • Slate or Convertible designs • Windows XP • No voice capability • $1600-$3000

  23. MOBILE FUTURES

  24. MOBILE FUTURES

  25. Thank You Reminder: • Please be sure to complete your session evaluation forms and place them in the box outside the room. We appreciate your feedback.

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