BUSINESSWEEK ONLINE : MARCH 8, 1999 ISSUE
COMPUTER STALWARTS
SUN MICROSYSTEMS
JINI Its Java software is being used in everything from smart cards to smart washing machines. Now Sun's Jini software will let all those Java devices work together over the Internet.
MICROSOFT
The software king is out to dominate pastures beyond the PC as well. Its WebTV service has more than 700,000 subscribers, it's pushing Windows CE software into appliances, and it has unveiled a Jini-like technology called Universal Plug-and-Play.
HEWLETT-PACKARD
HP Capshare Scanner
The computer maker may finally be ready to put its vaunted technology and brand name to work. HP's Information Appliance Div. has unveiled the CapShare handheld scanner and the Jornada handheld PC. HP is working on other gizmos so mobile professionals can send and receive images, voice, and data over the Internet.
AOL
To give its 13 million subscribers easier access--and reach the PC-less masses--AOL is talking to makers of Internet phones, set-top boxes, and other gear about offering its service on such devices.
DIAMOND MULTIMEDIA
Diamond Rio
This maker of PC add-in cards is shifting investment to devices such as the $199 Rio, which can store and play songs downloaded off the Internet.
QUANTUM, SEAGATE, AND WESTERN DIGITAL
The three disk-drive makers are targeting consumer appliances. Quantum drives are in TiVo's set-top box, Seagate was an early investor in WebTV, and Western Digital is working with Sony on home info appliances.


The Scramble for the Killer Information Appliance


CONSUMER- ELECTRONICS GIANTS
SONY
sony digital picture frame
This year it will deliver a batch of information-based devices, including smart picture frames, digital cameras, and handheld computers with slots for its Memory Stik modules. These gumstick-size modules can store E-mail, digital photos, etc. Sony also is working on home networks so digital camcorders/cameras, TVs, and other devices can share info.
SHARP
Sharp Telemail
It's making a $150 pocket-size device called TelMail, which allows you to send and receive E-mail by holding it up to a phone.
PHILIPS
A leading maker of WebTV set-top boxes, it will manufacture a "digital VCR" set-top based on TiVo's technology later this year. It is considering adding wireless handheld displays so viewers can receive E-mail or info from the Net.
STARTUPS
TIVO, REPLAY NETWORKS
Using traditional PC hard drives, both make "digital VCRs" that let you store your favorite shows to be watched when it's convenient. Replay's board of directors includes Netscape co-founder Marc Andreessen. TiVo has landed the first big licensee--TV maker Philips Electronics, which will introduce TiVo-based TV set-tops this year.
QUBIT TECHNOLOGY
Qubit's Web Tablet
It has three appliances on the drawing board, including a $350 tablet for checking E-mail and Web browsing. It works wirelessly when you're within 300 feet of its cradle.
APLIO
Its $199 Aplio/Phone gizmo lets you make long-distance calls free over the Internet. Next step: persuading phone makers to integrate the technology into their products.
IREADY, MICROTUNE
Chipmaker iReady, which has raised $20.5 million, makes a browser-on-a-chip so information-appliance manufacturers can easily get their wares Net-ready. Microtune, which has raised $22 million, makes a one-chip TV tuner that enables info appliances to handle video.
CMI WORLDWIDE
CMI's Advantage 2000
Founded by an inventor of bread- and juice-makers, CMi is readying an appliance for the kitchen that surfs the Web and doubles as a TV and CD player. Different models, priced from $800 to $1,500, will be sold this summer via Macy's.
SHAREWAVE, TUT SYSTEMS, 2-WIRE
These startups are chasing the exploding home networking market. ShareWave and Tut sell technology to link PCs and other gizmos wirelessly or through phone lines. 2-Wire will sell a device to connect home networks to high-speed phone lines.

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