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MARIA MARCED:
Intel General Manager, Europe, Middle East and Africa
THOMAS EINBERGER/ARGUM-COVER




Posted Sunday, Oct. 13, 2002; 2.15 p.m. BST

Fåhraeus is out to create a de facto global standard for paper-based digital communications. The Logitech io pen invented by his company uses camera technology to convert handwriting into digital information, allowing anything inscribed on specially formatted paper to be sent to PCs or mobile phones. The device, which is being produced in partnership with computer peripherals giant Logitech and is due in shops in November, lets you upload handwritten copies of your notes to your PC. The handwriting is stored as graphics, so it looks exactly like your original notes. In addition, handwriting recognition software can transform the notes into typewritten text. The pen can also be used to send e-mails, which appear in the
INGVAR ANDERSSON/ PRESSENS BILD
sender's own handwriting. Last April Anoto Group launched another version of the pen in Sweden, in partnership with Sony Ericsson and Vodafone Sweden. This device, called the Sony Ericsson Chatpen, syncs with a mobile phone rather than a PC. Telecom Italia is expected to launch a commercial trial of the pen before the end of the year. Fåhraeus — who has a degree in mathematics and physics from Lund University in Sweden and a master's degree in bioengineering from the University of California, and completed three years of medical school — has also launched two biotech start-ups, Precise Biometrics and CellaVision. A nature buff who enjoys golfing, tennis, skiing and running, he hopes one day to finish the work he started on a Ph.D. in neurophysiology.
The Vision Thing: "We are turning paper into digital screens and pens into digital input instruments."
Forward Spin: The pen could be used to process business forms. Anoto Group has a deal with Japan's Hitachi to use the technology for things like processing overnight mail and supply order forms.

Breton, who was named CEO of France Telecom last week, is a turnaround wiz. In 1996 French consumer-electronics manufacturer Thomson was such a mess that the government tried to sell it to South Korea's Daewoo Group for one franc. The sale didn't go through. Instead the government recruited Breton, an engineer who wrote science fiction and previously worked at troubled French tech company Groupe Bull. Breton shed noncore businesses and focused the company, now called Thomson Multimedia, on "the video image chain," everything from commercial equipment for professional
PASCAL SITTLER/REA
broadcasters and moviemakers to dvds, dvd players and television sets. The strategy worked. Last year Thomson posted sales of €10.5 billion, it's sitting on over €1 billion in cash, and has no debt. Breton faces a very different
situation at France Telecom, one of the world's most heavily indebted public companies, with debt forecast to exceed €75 billion by the end of the year. The company's financial problems stem in part from the terms of the deals it struck with Orange and Mobilcom, its estranged German mobile partner.
Breton is expected to come up with a debt-reduction strategy within the next two months.
The Vision Thing: "My ambition is not limited to the indispensable lowering of debt. I want to assure a dynamic development that leverages the company's strengths in the areas of fixed telephony, mobile and Internet."
Forward Spin: To get the company back on track, analysts say Breton is likely to undertake some form of state-based rights issue and sell some shares in Orange.

Borel formed Logitech, a computer peripherals company, in 1981 when he and Pierluigi Zappacosta, a friend from Stanford University, won a contract from Japan's Ricoh to develop a desktop publishing system that included an early form of the computer mouse. Soon the partners began selling the mouse on its own and won deals with big computer makers, such as Apple and Hewlett Packard. Today, the Swiss company is tied with Microsoft for first place in U.S. retail mouse sales, according to researcher NPD Group. But Logitech — which reported net income of $75 million on sales of $944 million
GAETAN BALLY/KEYSTONE
last year — has moved way beyond the humble desk rodent. The firm holds 45% of the world market for Webcams and makes plenty of other computer peripherals as well, including trackballs, keyboards, joysticks, game steering wheels, headsets, speakers and the io, a personal digital pen that captures handwritten notes and uploads them into personal computers (see No. 10). This year Logitech branched out into other types of mobile devices as well, launching a cloth keyboard for personal digital assistants that doubles as a Palm Pilot case. And this month the company is due to release a line of wireless and wired headsets for mobile phones.
The Vision Thing: "We want to be king of the last inch between human fingers and the digital world."
Forward Spin: Borel is working to see that more European inventions and products reach the rest of the world through SwissUp, a forum for entrepreneurs.

In 1984 Courtois was working for a tiny French software company in Nice when he was approached by a headhunter about a job at Thomson, then a stodgy, state-run company. There was an opening in a division that made low-cost personal computers. At a meeting in Paris the headhunter decided Courtois might instead fit better at the European division of a fledgling U.S. software company: Microsoft. Now responsible for about 28% of the company's overall revenues, Microsoft-Europe under Courtois is driving into three new areas: software for small-to-medium-sized enterprises (SMES), gaming and mobile devices. In July Courtois helped orchestrate the €1.4 billion purchase of Navision, a Danish company that makes software that automates administrative
XAVIER LAMBOURG - METIS/EDITING SERVER FOR TIME
tasks for smes. Microsoft is also pushing hard to promote its new X-Box in Europe and in late September bought a 49% stake in the British game developer Rare. And it is aggressively pursuing deals with European telecom operators as part of its bid to become the platform of choice for mobile services. There's one catch. Microsoft's reputation has suffered owing to an investigation by the European Commission for anti-competitive practices.
The Vision Thing: "I consider it a personal challenge to change [negative] views of Microsoft."
Forward Spin: If Microsoft is found guilty of using its power to hamper rivals, it could face fines and be forced to unbundle products. But it is too powerful to be slowed down for very long.

Soon after joining Intel in 1984, Marced — a telecom engineer turned on to personal computers — orchestrated the company's move into the European consumer market. Now head of Intel's Europe, Middle East and Africa operations, which generates some $6 billion a year, she is spearheading the drive to put Intel inside all kinds of mobile Internet-access devices. Intel's chips are still found in most European desktop PCs, but these products are becoming more of a commodity and margins are getting slimmer. One area that could help make up the difference: the mobile sector. Intel has introduced energy-efficient
THOMAS EINBERGER/ ARGUM-COVER
memories for cell phones, and its XScale processors are used in Symbian's operating system for data-enabled mobile phones. The company is also pushing products that enable wireless broadband connections for desktop PCs, handhelds and laptops. Under Marced's leadership, Intel Capital Europe remains active. Recent investments include MobileAware, an Irish company that sells software that integrates Web, wireless, interactive television and voice services.
The Vision Thing: "These are tough times, but the digital revolution is here — and it is going to require silicon."
Forward Spin: Analysts say Intel needs to get agreements in place for mobile to dislodge strong competitors like Texas Instruments, Qualcomm and STMicroelectronics.



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FROM THE OCT. 14, 2002 ISSUE OF TIME MAGAZINE; POSTED SUNDAY, OCT. 6, 2002

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