frog design's New Lily Pad

By Peter Burrows

"PERSONALIZED PRODUCTION." Esslinger can also help Flextronics land new customers. For example, frog has hooked up with Disney (DIS ) to design a line of consumer-electronics products for kids, including a phone, a walkie-talkie, and a PC with Mickey Mouse ears that was unveiled on Aug. 5. Disney thinks these products could be a $500 million business over time, says frog Chief Operating Officer Doreen Lorenzo -- and Flextronics could end up being the manufacturer of many of them.

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Esslinger says such integrated offers will be the wave of the future. Just as products like Apple's elegant iPod are outselling far cheaper