BUSINESSWEEK ONLINE : MAY 22, 2000 ISSUE
INTERNATIONAL -- COVER STORY

The Clash of the Wireless Titans Begins


Cell-phone makers are the current champs of the wireless Internet. But they won't have the field to themselves for long. Here are some industries that have their eyes on the prize:

CELLULAR AND PCS SERVICE PROVIDERS
Any battle that draws AT&T, Vodafone, and NTT DoCoMo is bound to be bloody. At stake: 1.3 billion subscribers to mobile Net services in 2004, says IDC.

CELL-PHONE MAKERS
In this corner, it's Nokia vs. Ericsson vs. Motorola--and a half-dozen hard-charging Japanese and Koreans. Tough on venders. Great for consumers.

INFRASTRUCTURE COMPANIES
Ericsson, Nokia, Lucent, Fujitsu, and others are dotting the earth with thousands of transmission stations. This will be a trillion-dollar business.

HANDHELD COMPUTER MAKERS
Palm has been reborn as a wireless Internet company. Compaq, Casio, and Hewlett-Packard are making Pocket PCs in an alliance with Microsoft.

ELECTRONIC PARTS MAKERS
Texas Instruments ships 2 million chips a day to digital cell-phone makers. LCD-screen companies such as Sharp also hold some high cards.

WIRELESS PORTALS
Yahoo! and AOL are frantically partnering with cell-phone and handheld PC companies to preserve their portal franchise in the wireless age.

E-COMMERCE COMPANIES
If you can sell books, groceries, and plane tickets to folks on PCs, why not hawk them to people on the move? Commerce sites could become mobile portals.

MOVIE/MUSIC STUDIOS
AOL Time Warner isn't the only ''content'' titan. Sony owns films and movies and is planning phones that will double as mobile media players.

AUTO COMPANIES
Thanks to fast wireless data services, cars will soon evolve into annexes of the home office. That's why Toyota is branching into telecom and portal businesses.

SATELLITE COMPANIES
For speed and ubiquity, nobody beats satellites. Despite Motorola's Iridium fiasco, consortiums such as Globalstar and Teledesic still dream of the Internet in the Sky.



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