3Com's Internet Appliance Division Licenses Palm Technology

Upcoming Product Line to Incorporate Palm Functionality, Including HotSync Technology

3Com Corporation (Nasdaq: COMS) and Palm, Inc. (Nasdaq: PALM) today announced a licensing agreement to use Palm's patented software in 3Com's upcoming Internet Appliance line. 3Com plans to integrate popular features of the Palm OS(R) software, including the HotSync(R) data synchronization technology, into the operating system of 3Com's Internet Appliance which will debut later this year. The new product family under development is designed to dramatically simplify the family Internet experience in the home.

"We're dedicated to creating new categories of Internet appliances that will intensely focus on delivering convenience and enjoyment in new ways, empowered by the Internet," said Don Fotsch, vice president and general manager, 3Com Internet Appliance Division. "We chose to utilize certain functionality of the Palm OS platform for our Internet appliances to leverage both the advantages of Palm's HotSync technology and desktop PIM functionality."

"Palm OS software licensees and developers continue to utilize the Palm OS platform as a foundation to showcase innovation and ingenuity," says Mark Bercow, vice president, Strategic Alliances and Platform Development, Palm, Inc. "Pioneering companies like 3Com are harnessing Palm's commitment to quality and simplicity, expanding the platform into new categories by providing users with seamless access to their data through novel products such as these home Internet appliances."

3Com's Internet Appliance Division combines the marketing power and channel strength of 3Com's consumer connectivity leadership with the fast-paced, instant decision-making ability of a startup.

The 3Com Internet Appliance team philosophy focuses on providing the best Internet experience by doing a few specific tasks extremely well. With a foundation in extensive primary customer research, the division is centered on the creation of the radically simple appliance solutions of the digital home.

3Com's vision of a digital home is one that connects family members to each other and to important information -- both within and outside the home. Based on real-life consumer needs for Internet connectivity, the digital home parlays 3Com's acknowledged expertise in networking computers and enriches consumers' lifestyles with simple, reliable and innovative products. Encompassing a wide variety of available, HomeConnect(TM) brand products, 3Com is the only company that provides every connectivity element required by digital home members -- such as cable and DSL modems, home networking products and PC WebCams.


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