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NEWS FLASH 2000 - 45 (Dec. 2000)
(Updated on Dec. 13, 2000)

MARKET OUTLOOK

Wireless Voice and Data Communication to Drive Sales of Handhelds

As individuals’ lifestyles and work environments become increasingly dependent on mobile communication, the demand for wireless devices will escalate, according to a new report.

Cahners In-Stat Group has released a report, entitled " Mobile Computing Devices: A New Era in Personal Computing," that found that new palmtop and handheld PCs will make "wireless Internet access a more commonplace phenomenon." The authors of the report noted that the next generation of wireless devices with their enhanced features such as Internet connectivity and audio applications coupled with the affordable prices will drive the market forward.

Forecasts for the Worldwide Mobile Computing Device Market:

  • Market will grow from 4.882 million units in 1999 to 6.649 million units in 2000, representing annual growth rate of 36.2 percent.
  • By 2004, the market is predicted to grow to 16.771 million units, representing an annual growth rate of 28 percent.
  • More than 51 percent of mobile computing devices shipped will be wireless-enabled, by 2004.
  • Devices, integrating voice and PDA functions will be in considerable demand.

In addition, the report addresses the following:

  • Examines handheld and palmtop processors, operating systems, batteries, screens, memory, and expansion ports.
  • Analyses the market with respect to pricing, market drivers, and major players such as Palm, Sony, Handspring, IBM, and Psion.
  • Discusses wireless service plans for both packet-switched and circuit-switched data transmission.

For more information: www.instat.com/pr/2000/cm0005mc_pr.htm

Mobileinfo Comments and Advisory: We are receiving increasing number of market research reports that are forecasting increases in wireless internet devices. While MobileInfo agrees with the projections of these devices, we believe that actual use of wireless Internet applications will grow gradually- slowly but steadily during the next three years and then suddenly after 2004. Make your ROI and payback expectations realistic.

Note: This news release may contain forward-looking statements. Readers should take appropriate caution in developing plans utilizing these products, services and technology architectures.

All trademarks used in this summary are the property of their respective owners.


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