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The legal action against Microsoft is not yet over, but media speculation abounds about the fate of the company's operating system. If they win, state attorneys general may ask Microsoft to give up control of the Windows operating system (NT, 95, 98, 2000), either by selling it off or making it available to third-party developers as on open-source operating system. Of special interest to readers of this magazine, Windows CE has not been mentioned, presumable because Microsoft does not have a near monopoly in the PDA operating system market. And 3COM, who manufacturers and markets the Palm computers, is working very hard to make sure that doesn't happen. Windows CE will most likely stay with Microsoft and they will continue to improve it. We've read speculation that if NT/95/98/2000 are sold, Microsoft would put even more attention on CE.

Microsoft's large investment in the communications giant will have a large impact on Windows CE acceptance, especially in the expanding area of cable services. As a part of this deal, AT&T will use Windows CE as the operating system for some of its digital set-top boxes, which manage cable links to customers. AT&T's previous commitment to Windows CE increased dramatically with this deal. AT&T will also use Microsoft software to deliver e-mail and interactive services over cable television.

Microsoft is hard at work on upgraded versions of the Windows CE operating system and the applications bundled with it. "Rapier" is rumored to add pocket versions of Microsoft's desktop applications to the Palm-size PC platform. Presumably, these would include versions of Excel, Word and even a Pocket version of Microsoft Money. The subsequent versions, code-named "Cedar," would add support for smart phones and similar devices. One Microsoft goal, attributed to Microsoft's Phil Holden, is to give Windows CE a more Web-like look and feel. Speculation is that Microsoft will replace cascading menus icons, and that this will require more powerful CPUs. Word is that Microsoft is also working on an update of Windows CE Services, to resolve driver and I/O port conflicts.

Microsoft's plans for the country with the largest population on Earth include a project code named "Venus," based on a Chinese version of the Windows CE operating system. The Venus project will allow Chinese developers to create new hardware platforms for educational applications, the Internet, e-mail, games, T.V., video and more. Acer, ESS Technology, Philips Consumer Electronics, and other manufacturers will support the effort with products. In a related announcement, ESS Technology signed an agreement with Xiamen Xiaxin Electronics Company of China to develop Windows CE-based Video Internet Computer systems aimed at computer, consumer, and communications markets in China. Xiaxin will use CPU, modem SVCD and DVD chips from ESS to develop the systems. For more information, contact ESS, www.esstech.com.

Microsoft will add a service called MSN Mobile to MSN, that will deliver Web content to a variety of wireless devices, including cell phones, pagers, and PC Companions. The project is a part of Wirelessknowledge, its joint venture with Qualcomm. Microsoft is also developing a small browser, based on the Windows CE operating system, for the Wirelessknowledge service. The code for this "micro browser" will be available in Q3 or 4, 1999.

Uniden Multimedia Corp. is shipping its Uniden Data 2000, a Type II PC Card CDPD modem. The card utilizes Cellular Digital Packet Data technology and will work with Windows CE 2.0 and above Handheld PCs with a PC Card slot. The Data 2000 is self-powered by a pair of AAA batteries, and comes with an AC power adapter. For more information, contact Uniden; phone: 888-6-UNIDEN; Web: www.uniden.com.

Novatel Wireless will work with Casio Inc., to create a Cellular Digital Packet Data modem cradle for Casio's Cassiopeia E-10 and E-11 Palm-size PCs. No word on whether or not a modem cradle is in the works for the new Casio E-100. For more information, contact Novatel Wireless, Web: www.novatelwireless.com; or Casio, Web: www.casio.com.

STNC Ltd has announced a Windows CE version of its HitchHiker smartphone Web browser. HitchHiker for CE is a HTML 3.2 browser that will allow mobile users access to a range of Web-based information services. HitchHiker for CE includes T9 text input from Tegic Communications, allowing rapid text entry from a mobile phone's numeric keypad. HitchHiker for CE is not an end-user product, but designed to be included by manufacturers of Windows CE-based mobile phones. For more information, contact STNC, Web: www.stnc.com.

Microsoft will pay Spyglass $20 million to design Windows CE applications for Internet devices. Spyglass will create consumer-based Web applications for the Windows CE operating system. Spyglass previously developed the Mosaic Web browser. For more information, contact Spyglass Inc., Web: www.spyglass.com.

Hewlett-Packard Company has announced the availability of user-installable upgraded chips for its HP 620LX and 660LX Palmtop PCs. The chip includes the Windows CE 2.11 operating system, the H/PC Pro class of Pocket applications and utilities, and new productivity applications from HP. The HP applications are described in detail in the review of the HP Jornada 680, page 8 this issue. The upgrade will increase the built-in RAM of the HP 620 from 16 to 32 MB. The upgrade will have an estimated U.S. street price of $179 and can be ordered online at the HP Shopping Village, www.shopping.hp.com.

bSquare Corporation has announced that it will offer Industrial Automation solutions to manufacturers of specialized Windows CE devices. For more information, contact bSquare, www.bsquare.com.