Palm Inc. has long had a stronghold on the PDA market, and the result is that software develpers have generally chosen to focus their efforts on developing software for the PalmOS instead of Microsoft's Windows CE. Micorsoft has made some moves recently that it hopes will help it gain ground on Palm. Many of these moves, especially in the area of wireless connectivity, have given Palm reason to be concerned.

Microsoft's Moves

One of the biggest announcements concerning PocketPC wireless connectivity concerns the Omnisky Wireless Internet. Omnisky announced that it will be expanding its service, which currently only supports the PalmOS. Soon PocketPCs will be supported by the Omnisky service. Barak Berkowitz, president of OmniSky, mentioned that one of the reasons for supporting the Pocket PC is that, "there are things we can do on a Pocket PC that we can't do on a Palm platform."

Another feature that Microsoft is hoping will help them catch Palm is their Airstream wireless infrastructure initiative. Microsoft is definitely ahead of Palm in the area of enterprise services and wireless infrastructure.

The Stinger mobile phone is yet another device that Microsoft is developing. The stinger is a mobile phone that will incorporate some features of the WinCE operating system. Exactly how popular the PDA/phone combo will be has yet to be seen, but Micorsoft is once again showing its dedication to developing new products in order to remain competitive.

Palm's Strategy

Although many analysts agree that Palm has reason to be concerned, Palm executives continue to talk a good game. Alan Kessler, Palm's other chief operating officer, says that, "It would be fair to suggest that Microsoft has the all-singing, all-dancing solution, but that doesn't preclude the importance of what we offer." The concentration on keeping their platform simple has worked for them so far, and they don't show too many signs of changing that stance.

While it is true that Palm has made its own share of announcements regarding new technology and devices, they continue to focus on their strong personal information management legacy. Among the developments in the works are e-wallet and location based services.

Even Palm must admit that the wireless age is upon us. Word is out that bluetooth connectivity will be included as a part of the next version of PalmOS. No announcement has been made yet concerning the release date of this next PalmOS version.

Who Will Win?

Who do you think will win the wireless battle? Will Microsoft surge ahead with its emphasis on doing more with one machine? Will Palm continue to maintain its lead by keeping it simple? Personally I think that there is a market for both types of machines, and I don't think that either company will be forced to retreat from the handheld marketplace any time soon. Please share your thoughts on this issue with us.