ORLANDO, Fla., CTIA Wireless 2002, March 19 /PRNewswire-FirstCall/ -- Driving the adoption of Bluetooth technology in the U.S. market, Palm, Inc. (Nasdaq: PALM) and Sony Ericsson today announced a marketing alliance agreement to develop strategic Bluetooth programs for carriers and their customers. Palm, a leading provider of handheld computers, and Sony Ericsson, a leading provider of mobile phones and communications products, will collaborate to make Bluetooth communication solutions readily accessible and easy-to-use for mobile professionals across the country.

Bluetooth is a short-range, wireless networking technology. It is optimal technology for handheld devices because of its low power consumption and its flexibility to allow devices to talk spontaneously. A Bluetooth-enabled Palm(TM) handheld equipped with the Palm Bluetooth Card and a Bluetooth Sony Ericsson T68 phone provides an elegant communication solution that enables users to make calls by tap dialing(1) phone numbers on their handhelds, access their email accounts and search the Internet for up-to-the-minute information while on-the-go.(2)

"The emergence of Bluetooth will enable various devices to connect," said Todd Kort, principal analyst at Gartner. "Users will likely maintain small wireless 'gateways' through a mobile phone in their purses or on their belts so they can pick up any Bluetooth-enabled device, such as a notebook computer, mobile phone or PDA, and find it instantly connected to the Internet through the gateway. We believe that the Bluetooth market will mature quickly, becoming a mainstream property of new mobile phones and high-end PDAs by the end of 2002."

A Palm and Sony Ericsson Bluetooth solution appeals to mobile professionals who appreciate and prefer small, sleek wireless handsets. Customers can continue using the "best of breed" of both devices, and can slim down to just a phone or handheld when needed.

"Bluetooth is being embraced as an important wireless technology because it solves communication challenges," said Bo Larsson, corporate vice president and general manager, Sony Ericsson, North America. "We're working with Palm to show users how Bluetooth elegantly connects mobile phones and handheld computers to create a world of personal communications for wireless voice and data applications."

Currently, Palm handhelds and the Palm Bluetooth Card can be purchased online at The Palm Store (U.S. customers only, at http://store.palm.com/ ) and at retailers worldwide. (For additional information about the Palm Bluetooth Card, see today's related release, "Palm Delivers Wireless Connectivity in the United States with the Palm Bluetooth Card.") The Sony Ericsson T68 mobile phone will be available online within the next several weeks at www.sonyericsson.com and through U.S. carriers that support GSM. As wireless carriers in the United States make Bluetooth-enabled phones available on their networks, Palm and Sony Ericsson expect to enable carriers to deliver bundled solutions around the Sony Ericsson T68 phone and Bluetooth-enabled Palm handhelds. The paired devices support current and next-generation networks, such as GPRS.

Cingular Wireless has worked closely in the past with Palm on enabling its wireless data devices on Cingular's nationwide Mobitex network, and with Sony Ericsson as a key handset partner. Cingular expects to offer the Sony Ericsson T68 and the Palm Bluetooth Card as a way to enable customers to access Cingular's suite of Xpress Mail products, the Cingular My Wireless Window portal, and other enterprise-based data applications.

"Cingular is excited about the Bluetooth alliance between Sony Ericsson and Palm," said Stephen Krom, vice president of Business Marketing and Product Development for Cingular. "We have had strong alliances with both companies. Their association around Bluetooth is in line with our plans to deploy integrated business solutions across our networks."

"Bluetooth empowers mobile professionals to cut the cables between devices, and opens up a new dimension in wireless communications," said Todd Bradley, executive vice president and chief operating officer of the Solutions Group at Palm, Inc. "Our collaboration with Sony Ericsson to enable carriers to make Bluetooth readily available for mobile professionals is about delivering solutions -- not just technology -- that solve real communication issues."

Sony Ericsson T68 and Palm m515 Color Handheld

The Sony Ericsson T68 mobile phone is the first GSM/GPRS phone in the United States to feature a color screen and Bluetooth wireless technology. The tri-band phone works on 900, 1800 and 1900 megahertz GSM networks. The T68's additional features include joystick navigation, customizable desktop themes, calendar/organizer functions, PC data synchronization and voice control.

The Palm m515 color handheld is the newest member of Palm m500 series. The smart, professional choice, with 16MB of memory, the new m515 handheld lets users carry more of the information they need, whether it's Word, Excel and PowerPoint documents, or corporate data sets and applications. The m515 offers the brightest and easiest-to-read Palm handheld color display ever, in all lighting conditions, and supports 65,000+ colors.

About Sony Ericsson

Sony Ericsson Mobile Communications AB offers mobile communications products for people who appreciate the possibilities of powerful technology. Established in 2001 by Telefonaktiebolaget LM Ericsson and Sony Corporation, the joint venture continues to build on the success of its two innovative parent companies. Sony Ericsson creates value for its operator customers by bringing new ways of using multimedia communications while mobile. The company's management is based in London, and has 4,000 employees across the globe working on research, development, design, sales, marketing, distribution and support. For further information, please visit: www.SonyEricsson.com.

About Palm, Inc.

Palm, Inc. is a pioneer in the field of mobile and wireless Internet solutions and a leading provider of handheld computers, according to IDC (December 2000). Based on the Palm OS(R) platform, Palm's handheld solutions allow people to carry and access their most critical information wherever they go. Palm(TM) handhelds address the needs of individuals, enterprises and educational institutions by offering the foundation for thousands of application solutions. Palm stock is traded on the Nasdaq national market under the symbol PALM. More information is available at http://www.palm.com .

    (1) Tap dialing is for GSM phones only.

    (2) Internet access requires an ISP account, which may or may not be

        provided by the wireless carrier.

NOTE: Palm OS is a registered trademark and Palm is a trademark of Palm, Inc. Other brands may be trademarks of their respective owners.

SOURCE Palm, Inc.
Web site: http: //www.palm.com
CONTACT: Daphne Dickson of A&R Partners, +1-650-533-4066, or ddickson@arpartners.com, for Palm, Inc.; or Melissa Schumer of GCI Group, +1-323-761-7425, or mschumer@gcigroup.com, for Sony Ericsson