ROANOKE TIMES
Copyright (c) 1996, Roanoke Times
DATE: Tuesday, August 27, 1996 TAG: 9608270070
SECTION: BUSINESS PAGE: B-6 EDITION: METRO
DATELINE: SAN JOSE, CALIF.
SOURCE: Associated Press
THROUGH NAVIO Communications, Netscape plans to offer its software for linking small, inexpensive consumer devices to the Internet.
Netscape Communications Corp., stepping up its fight with Microsoft Corp., has formed a new company to put its popular Internet software into televisions, phones and other consumer products.
Through Navio Communications Inc., Netscape hopes to make its technology the industry standard for linking small, inexpensive consumer devices to the Internet. Microsoft also has been working on similar operating systems for years.
The new strategy takes Netscape's battle with archrival Microsoft to a new area. So far, the object of their rivalry has been the personal computer, the primary device for accessing the Internet.
Netscape's Navigator ``browser'' software is the most popular program that lets computer users find their way on the Internet's World Wide Web. But Microsoft Corp., which makes the software that runs most personal computers, has challenged Netscape with a browser of its own.
Last week, Netscape asked the Justice Department to investigate whether Microsoft is using its dominance in PC operating software to unfairly influence computer makers and others into giving its software greater prominence over competitors such as Netscape.
Tim Bajarin, president of Creative Strategies Research International in San Jose, Calif., said Netscape is making a strong bid to become the ``front end'' for any digital device - PC, hand-held computer, set-top box or smart phone - linked to the Internet.
``This is a very important strategy for Netscape - and one that will work, because they don't have any operating system baggage,'' he said.
Netscape's browser works with computers running Microsoft's Windows, Apple's Macintosh OS and several other kinds of operating software. But Microsoft's Internet Explorer works only with PCs running Microsoft's Windows 95 and Windows NT operating systems.
Microsoft has been trying to produce versions of its operating software and browser for hand-held computers and other devices linked to the Internet but has not yet explained how they will work, Bajarin said. But Microsoft, he added, probably will do that soon following Netscape's latest move.
``I'm sure they don't want the mindset of digital appliance makers to be pushed strictly to Netscape,'' he said.
Navio Communications, which already has 50 employees, will be an independent company owned mostly, but not exclusively, by Netscape. The New York Times reported Monday that Netscape's allies in the new company were IBM, Oracle and four Japanese consumer electronic concerns - Sony, Nintendo, Sega Enterprises and NEC - that are dominant in producing a variety of home-entertainment products.
Its chief executive officer will be Wei Yen, a former Silicon Graphics Inc. vice president. Netscape founder and chairman Jim Clark will be chairman of Navio Communications.
Alan Stock, a marketing executive with Navio Communications, said the new company hopes to announce products in the first half of next year.
LENGTH: Medium: 63 linesby CNB