In what is perhaps the most concrete example to date of its commitment to extend Internet services to mobile devices, America Online Inc. last week acquired Tegic Communications Inc. for an undisclosed sum.
AOL said it made the purchase to further advance its AOL Anywhere strategy, which aims to deliver AOL content to a variety of devices other than personal computers, including wireless devices and TVs.
Tegic created the T9 Text Input software, compatible with 14 languages, which allows phone users to enter text into their devices by pressing only one button on the keypad.
In addition, Tegic has worked in collaboration with AOL for more than a year on Tegic’s Instant Messenger, an embedded application bundled with the T9 Text Input software that allows for instant messaging to wireless devices via the Internet. The software is able to perform these functions regardless of which technology the wireless network uses.
The software allows phone users to send and receive instant messages to or from any similarly equipped phone or computer. It also notifies the user when friends on that user’s Buddy List either activate their phone or log online, and vise versa.
Instant messaging is just the first application AOL hopes to extend to wireless and other devices. Adding the T9 text input technology is a key step in that process, the company said.
“Tegic’s revolutionary T9 software makes it possible for consumers to easily and quickly take advantage of e-mail and instant messaging on their wireless telephones,” said Barry Schuler, president of AOL Interactive Services. “We are especially excited about the great potential to extend this capability, as well as other text-based functions, to other wireless devices.”
Entering text into devices without full Qwerty keyboards usually requires the user to press keypad buttons several times to choose the right letter corresponding to the keypad number.
“AOL is extremely interested in the T9 Text Input product,” said Don Davige, Tegic vice president of sales and marketing. “They understand that accessing the Internet is very difficult without technology like T9.”
Davige said Tegic will retain its name and management structure and will remain in Seattle, although it will move to bigger offices. It will operate as an independent business unit within AOL, but will be involved with AOL’s Device Group.
“Tegic will continue to operate our core business, that being the T9 Text Input technology. AOL is committed to continue to grow that business and add additional features and expand the list of that product,” Davige said.
“Initially we thought that we would be strategic partners, and it kind of grew from there,” he added. “Over time, it made sense for both sides for AOL to bring Tegic into the fold.”
He said he expects AOL’s financial backing and clout to propel Tegic technology to new areas.
“AOL will make our life much easier. It gives us a lot more credibility in spaces we haven’t been in the past,” Davige said. “I think you’ll see us work together on other types of devices, including wireless handsets, pagers and interactive TV devices. T9 makes a lot of sense on a remote.”
Of the areas AOL has expressed interest in for expansion, interactive TV closely matches its interest in wireless devices. Davige said he believes that since the remote control is the most common user input method for TVs today, it makes sense for it to continue to be so in an interactive TV paradigm and thus use the T9 technology as opposed to connecting a Qwerty keyboard to the TV.
Davige said Tegic also is in discussions with paging carriers and manufacturers to include T9 on those devices.
“Don’t be surprised if you see a pager with a telephone keypad instead of a full Qwerty keyboard,” he said. “Why do you need 26 keys when you can just have nine?”
