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Will Wintel Hegemony Hit Cellular Phone Market?

Cellular Phone Market

By the third quarter of this year, the Taiwan-based Wistron may launch the first Wintel cellular phone. The chip will be Intel�s, while the operating system will be Microsoft�s Windows Smartphone 2002.

p____p However, things aren�t that simple. Microsoft�s estranged partner Sendo has joined Matsushita, Samsung, Siemens and Nokia in supporting the rival Symbian OS.

p____p The mobile phone industry seems to be displaying a united front against Microsoft. Microsoft�s last remaining ally amongst the big five handset makers, Samsung, has even purchased a stake in Symbian, the rival mobile operating system vendor.

p____p The handset makers are wary of attempts to establish a Microsoft-Intel hegemony in the cellular market, which may destroy their ability to differentiate their products. Expecially, after Microsoft�s erstwhile collaborator and handset maker Sendo took the software giant to court.

p____p According to Reuters which had obtained a copy of the Sendo filing, “Microsoft�s secret plan was to plunder the small company (Sendo) of its proprietary information, technical expertise, market knowledge, customers and prospective customers. Microsoft gained Sendo�s trust and confidence through false promises that Sendo would be its �go-to-market-partner�”.

p____p “Microsoft used Sendo�s knowledge and expertise to its benefit to gain direct entry into the burgeoning next-generation mobile phone market and then, after driving Sendo to the brink of bankruptcy, cut it out of the picture,” the filing said.

p____p Sendo has alleged that this information was passed onto low-cost manufacturers in Asia. In fact, the first Microsoft Smartphone launched in Europe was the Orange SUV, built by Taiwanese firm HTC.

p____p That�s the story about the software side of the ongoing great smart cellular phone race.

p____p Coming to the hardware side of the story, Intel has unveiled the Intel PXA800F chip for cellular phones, also known as the “Manitoba”, which is expected to feature in cellular phones working on GSM and GPRS networks.

p____p The “Manitoba” is expected to bring down the cost of intelligent cellular phones, especially the ones that double up as cameras, digital music players and web browsers.

p____p Though , Intel is pitted against more established players in the market, such as Texas Instruments, Qualcomm and Motorola, it plans to compete on price to leverage its late entry.

p____p Among these players, Motorola makes its own chips as well as cellular phones. Also, at least some of its cellular phones run on Linux!

p____p Sure, unlike the PC market, the Wintel alliance has competition in the cellular phone arena and as cellular phones get smarter, one can expect this to increase.

p____p Of course, it will be tough to predict who will beat whom in the great smart cellular phone race.

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