Devices that include the dual functions of personal digital assistants and cell phones are apparently the next wireless craze, but even the industry admits these new toys won't replace cell phones and handheld devices anytime soon.
Nonetheless, Verizon Wireless (VZ) now sells Kyocera Wireless' (KYO) converged PDA cell phone powered by the Palm (PALM) operating system. The phone has received much fanfare; ads are popping up everywhere.
"A lot of people's initial reaction is it's a little big, but when they play with it they say it's cool," said Delly Tamer, president and CEO of comparison shopping site LetsTalk.com. "It has a lot to offer for its size –- it's intuitive to learn and for business professionals it's a good device."
Ericsson has been selling the R380 -– its own PDA phone that runs on Symbian's software – since December.
Samsung, Sendo and Mitsubishi (MBK) plan to release phones at the end of the year that will run on Microsoft's "Stinger" software –- a stripped-down version of Windows CE now in Pocket PCs.
PDA phones by Motorola and Nokia are available only in Europe and Asia.
However, only early adopters are snapping up the PDA cell phones in the United States – and even these users seem to be carrying around more than one device.
PDA cell phones just aren't light enough and don't cost what consumers are willing to dish out, the industry says. In other words, these PDA phones will languish along with the other high-end cell phones and PDAs floating around the marketplace today.
"I'm not willing to make a prediction for more than five years," said Palm's developer Ted Ladd. "I carry my cell phone and Palm. There are times when I want one or the other."
Wireless technology evangelists agree Kyocera's recently released QCP 6035 is sexier and cheaper than the pdQ smartphone – its predecessor, which until December was the first and only PDA phone available to Americans. But it still isn't small enough or cheap enough.
The QCP 6035 weighs 7.3 ounces, compared to the http://www.cellmania.com/cgi-bin/cm_store/search/search.jsp?BV_UseBVCookie=YES&SearchType=CellPhones&SearchText=Kyocera+(Qualcomm average Kyocera phone, which weighs 4.2 ounces.
The phone costs $500 with a one-year service plan by Verizon. Comparison shopping site Cellmania.com lists the prices for other Kyocera phones that don't have PDA capabilities at between $50 to $70 with price plans.
"Price point is still the No. 1 deciding factor for consumers," said Patrick Aronson, director of business development for Cellmania.com. "The real growth and penetration of users is in the (lower-end) segment."
The Ericsson R380, which isn't even available through carriers – but only online – goes for $600. The phone weighs 5.8 ounces, which is actually comparable to the weights of Ericsson phones with no PDA capabilities.
"We're still in Phase 1 with these devices," LetsTalk.com's Tamer said. "For most people they are still too-big devices. My feeling is we'll see more adoption in next-generation devices before Christmas of next year."
Most U.S. carriers don't carry PDA smartphones because there are different network standards to transmit data – unlike the situation in Europe where the Global System for Mobile Communications (GSM) is the unanimous standard. Manufacturers in the United States must strike a partnership with each individual carrier in order to distribute its products.
Tamer is the poster child for how early adopters are taking to PDA smartphones such as Kyocera's. Tamer likes his Kyocera 6035. "It's nicely designed," he said. "I like the fact it has a speakerphone. I love the fact I can look at my call history on a big screen and see everyone I've called."
But it isn't the only device he carries. Tamer, a self-described "device guy," also carries Motorola and Nextel cell phones because "they are small and people have my numbers." He also carries a Blackberry pager and a Palm V.
LetsTalk.com has released a self-funded study showing that Tamer isn't alone in his reluctance to carry only one gadget.
In the study, Yankelovich Partners found more than half of 1,023 Americans polled would carry more than one wireless device to gain as many services as possible. The people who participated in the survey were given a list of devices and asked to check off as many as they wanted, and not to consider price as a factor.
LetsTalk.com did not include PDA smartphones as an option because only Kyocera's pdQ smartphone existed in the market at the time, and it wasn't being used much.
"This survey shows that in the minds of Americans, no single device can manage all different functionalities of a cell phone, a portable e-mail device or a wireless PDA," Tamer said.
Ladd, the spokesman for Palm – which has locked up almost every major phone carrier to run its operating system in future smartphones –- agrees.
"Some people really want both devices separate – like their keys and wallet," he said. "You carry them frequently on your body concurrently, but you don't want them (together) because you do different things with them."
