Fujitsu Considering Licencing Palm OS

Fujitsu , Japan's second-largest computer maker, said it may start selling handheld computers based on the Palm OS. "We are considering entering the market for personal digital assistants,'' said Tadayasu Sugita, Fujitsu's executive vice president for the computer business. "One of the likely candidates for the operating system is the Palm OS.'' He said the timing of the introduction and the price are undecided.

They will have plenty of Japanese competion. In recent weeks two of their main competitors, Toshiba and NEC have said they'll begin selling non-Palm handhelds. And Sony already has the Clie on the market.

According to Takashi Takaya, a Fujitsu senior vice president for accounting, the company's sales of computers have slumped this year.

"PC makers will have no choice but to enter the PDA market,'' said Haruo Sato, an analyst at Tokai Maruman Securities Co. "Fujitsu is, of course, no exception.''

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