Geoworks Concentrates on Communication

Following the first generation of pen-based personal digital assistants, most notably marked by the introduction of the Apple Newton MessagePad and the Tandy/Casio/AST Zoomer, vendors have begun the important specialization process allowing them to concentrate on technologies and markets that they believe they understand best. Some, such as the Palm Computing Division of US Robotics, have started focusing on small, easy-to-connect companion devices. Others, including Apple, are honing their device as a leading application development platform. And as the markets begin to be more clearly defined, Geoworks too has laid its stake in the ground with, in this case, wireless communication.

Earlier this year, Geoworks and Ericsson jointly announced that the two companies were working on developing a range of next generation so-called “smart” cellular phones that are capable of transmitting data as easily as voice. At the core of the Swedish telecommunication giant’s plans is GEOS, the Geoworks developed operating system used by both the Zoomer PDA and Hewlett-Packard’s latest high-level organizer, the OmniGo 100. GEOS is well known as a feature-rich operating system that is capable of offering acceptable performance on very low cost and low power processors, down to the venerable Intel 8088.

The Elusive Smart Phone

By licensing GEOS, Ericsson is betting that the latest improvements in the operating system, including a “universal mailbox” together with support for industry standard communication protocols, will form the basis for the right mix of computing and communications—a combination that has proven to be surprisingly elusive in the past. Ericsson plans to have the advanced phones ready for worldwide introduction around the beginning of 1997. Ericsson, already an established leader in wireless communication, especially in Europe and the emerging markets of Central Europe and Asia, still lags behind world leader Motorola and Finnish giant Nokia. The company is clearly hoping that, as people become increasingly dependent on electronic data communication in the office, they will want to carry this type of capability with them on the road. For its part, Geoworks believes that customers will more easily be able to justify handheld computing platforms that feature the well understood benefits of mobile communication.

“Geoworks believes that customers will more easily be able to justify handheld computing platforms that feature the well understood benefits of mobile communication.”

Nokia Just Around the Corner

As we go to press, Geoworks, Nokia, and Intel are set to introduce a GEOS-based handheld communicator at CeBIT 96 in Hannover, Germany. Dubbed the Nokia 9000 Communicator, the device features the ability to send and receive telephone calls, faxes, short messages such as pages, and electronic mail. More about this device in the next issue of Pen-Based Computing.

Geoworks Looking Heathier

All in all, things are looking up for Geoworks. The Alameda, California-based company earlier this year reported losses had shrinked to $646,000 for the third quarter of fiscal 1996 from roughly $2.3 million for the same period a year earlier. Revenues for the first nine months of fiscal 1996 grew to $4.2 million from $3.06 million last year.

Part of the boost came from the introduction last year of HP’s OmniGo 100, a sub-$350 organizer. More significant to Geoworks’ health, the company successfully completed a common stock offering last November in which it raised $40 million, bringing its holdings of cash and marketable securities to $53 million.

Contact:

Geoworks
960 Atlantic Ave.
Alameda, CA 94501
Deborah Dawson
(510) 814-5750
(510) 814-4252 (fax)
[email protected]