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Tablet PC devices show innovation, market opportunity

By Tom Krazit , IDG News Service , 11/06/2002
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Hardware vendors around the world are launching Tablet PC devices based on Microsoft's new operating system Thursday, capitalizing on the chance to sell a new device into a stagnant market of disappointing PC sales. But while many companies are embracing the new Windows XP Tablet PC Edition software, some are certain to fail as users determine which devices will pass muster, according to analysts.

"Companies have made many different choices in bringing these products to market, which I think is a healthy sign," said Stephen Baker, director of research at NPD Techworld. "They are showing some innovation, and people think there is an opportunity here."

The two main designs are slate devices with detachable or wireless keyboards, and devices that resemble notebook PCs and whose displays swivel. "Initially, products that offer you multiple capabilities will do best. Exclusive tablets are going to be a much tougher sell, at least in the beginning," Baker said.

Despite the use of various processors from Intel and a few Transmeta Crusoe chips, "I don't think these things are going to be sold on the basis of power," Baker said. The niche businesses that adopt the tablets for their workers, such as health care and large sales organizations, will make their purchasing decisions based on usability more than anything else, he said.

Pen-based computers have historically remained on the sidelines for average computer users, but Microsoft and its partners are hoping that trend ends with the launch of Tablet PC operating system.

"The customers who these products are targeted toward will be willing to pay for the product if they see value," Baker said.

A selected list of devices launched this week follows below:

Toshiba Portégé 3500 Series Tablet PC features a 1.33GHz Pentium III-M processor from Intel, the fastest processor included in an Intel-based tablet, according to Toshiba. "Digital ink is a phenomenal way of inputting data, but it is processor intensive," said Craig Marking, senior product marketing manager at Toshiba.

Heat from that increased processor performance will be dissipated through a 2mm space between the keyboard and the 12.1-inch TFT (thin film transistor) display, which swivels to cover the keyboard when the device is in tablet mode, Marking said.

Toshiba chose a notebook PC-type design for the 4 pound (1.8kg) device. The company also included integrated Bluetooth and 802.11b wireless communications capabilities built into the device, and they will be reselling 3G model data cards from Sprint Corp. as another method of wireless Internet access.

The Portégé 3500 will be available worldwide as of Thursday. A base configuration will cost $2,299 with a 12.1-inch TFT display, 256M bytes of RAM, a 40G-byte hard drive, and several expansion slots including Compact Flash, Secure Digital, and USB (universal serial bus) 2.0 ports. It measures 11.6 inches wide by 9.2 inches deep by 1.2 inches thick (29.46cm by 23.37cm by 3.05cm), and is rated for up to 3.5 hours of battery life.

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