Handspring Visor Cell Phone

Handspring, maker of the popular palm-based Visor electronic organizer, will offer an add-on module that converts its organizer into a cell phone. Using BellSouth's service, the cell phone attachment clips into the module port found on the back of the Visor handheld. Other announcements from Handspring include a new improved MP3 player module and a new Visor with a color screen. All three products will be available by the holiday season.

Although Handspring competes directly with Palm, its founders are the same folks who created the Palm. Handspring principles left Palm but kept the Palm operating system to build their own product (Visor). Besides simple aesthetics, the main difference between a Palm and a Visor is the latter's module expansion bay located on its back that allows users to easily add third party products to existing Visors.

Visor initially launched with a really bad Tiger Woods golf module and backup option, but today with a host of new improved modules from cell phones, digital cameras and GPS systems, the module concept is a hit with consumers sick of the planned obsolescence of other handhelds. The module bay allows the Visor to adapt to new technologies faster without replacing the unit every time a new option becomes available. Using the Harley Davidson model of economics, Handspring can therefore rely more on accessories (modules) than new generation hardware.

Is Handspring a Palm killer? Both companies are loaded with post IPO cash. While Handspring may have the upper hand with its module concept, Palm has some tricks up its sleeve including a Palm phone in Europe and an Internet appliance.

The KillerAPP in the handheld category is wireless communication between multiple devices. Besides the cell phone capabilities, future handheld devices will wirelessly synch with your computer, beam MP3's to your car stereo, log on the Internet, even adjust your AC/Heat to your specifications --not to mention unlock your doors, make coffee and operate your TV.

Palm, Handspring, Sony, Intel, Nokia, Ericsson and of course, Microsoft are just a few companies that will attempt to offer the aforementioned capabilities in one device over the coming year. The one that gets it right will win the prize. Look for Palm and Handspring to have a leg up on the competition but expect upstart Ericsson to make a run as well. www.handspring.com