Hybrid Net Appliance Hits Market

S A N T A   M O N I C A, Calif., Aug. 29, 2000 -- A company called NadaPC is marketing a compact device that combines television, the Internet and a DVD player in a box that is meant more for the kitchen than the home office.

The iCEBOX was developed by Seattle-based CMi Worldwide and ismanufactured by Samsung Electronics. Samsung will sell a similarunit later this year for about $650.

NadaPC is giving the units away in exchange for a three-yearcommitment to its Internet service at a cost of $21.95 per monthand the opening of a no-fee checking account at the Internet-basedCompuBank. The units became available today.

The iCEBOX comes cable-ready and has an internal 56k modem toconnect to the Internet. It has a dedicated printer port and anaudio and video jack to allow DVDs played on it to be viewed on alarger screen. A video camera can also be attached to turn the unitinto a nursery monitor or home security system, the company said.

A waterproof, wireless keyboard is included along with a remotecontrol.

The unit does not have a hard drive or other storage device,although future versions will include a USB port to accommodateperipherals such as a floppy drive. NadaPC says the lack of storagemakes the iCEBOX simple to use because no software ever has to beinstalled and no computer viruses can be downloaded.

Like similar units, such as iPaq, introduced earlier this monthby Compaq and Microsoft, and i-opener from Netpliance, iCEBOX isnot meant to replace the personal computer, but supplement it.

“This will work in rooms in the house where people won’t wantthe bulk and the bother of a PC,” said Jonathan Strum, NadaPC’schief executive.

Several companies have introduced or plan to introduce so-called“Internet appliances,” which are designed to provide basicservices to people intimidated by complicated PCs. The challenge,analysts say, is to provide consumers a compelling reason to buythe devices or enter into long-term commitments.