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Palm to distribute software for handhelds via kiosks

February 19, 2003

CANNES, France -- Palm (Nasdaq: PALM - news) has launched a program designed to simplify the process of getting software into the hands of wireless handheld. The PDA pioneer is targeting mobile network operators to become distributors of its applications.

According to a report in Wireless NewsFactor.com, the new "Beam-Me-App" program is a joint effort of PalmSource, Palm's operating system subsidiary; Handango, a software publisher; and WideRay, a firm that specializes in on-site wireless data-services technology.

Together the companies plan to offer instant point-of-sale software distribution via "beaming" kiosks set up in retail outlets run by wireless carriers. The program is customizable; each operator can offer applications packages compatible with its respective network infrastructures.

Visitors to the stores will be able to download mobile software from Handango's catalogue of Palm OS applications -- which range from games to business titles -- onto any Palm-powered PDA or smartphone. To use the system, customers simply hold their devices up to the WideRay box, or jack, which emits an infrared beam for transmitting the software. Beam-Me-App is available for all hardware running Palm OS 3.5 and above.

The applications are then activated through a code sent to the device. Charges are included on the user's phone bill, or payments can be made using SMS (short message system), depending upon the carrier's requirements. With each download, the customer also receives a list of applications available through that carrier.

Selling software through retail outlets where Palm OS-based devices are sold represents an opportunity for carriers seeking to add new data-service customers. And it is a convenient way for customers to access applications, according to Albert Chu, vice president for business development at PalmSource.

The kiosks also allow service providers to deliver their product information and promotions to consumers. When buying a Palm-based handheld, for example, a Sprint customer could get three free ringtones downloaded right at the store, said Chu.

The new software delivery system is available to all operators  selling Palm products, although no agreements have yet been signed, according to Chu. "Seventy percent of all handsets and smartphones are sold through carrier-operated stores, so this is a great opportunity to offer both hardware and software at one place," he told Wireless NewsFactor.

Palm-OS voice/data smartphones are currently sold by Alltel, Cingular, Sprint PCS, T-Mobile and Verizon Wireless, which offer handhelds made by Handspring, Kyocera and Samsung. In the coming weeks, Palm plans to launch the Tungsten W, its own version of the smartphone, and has an agreement with AT&T Wireless to sell that device.

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