FusionOne Scores $7.4m in Funding

Computergram International, August 12, 1999

FusionOne Inc, which has developed software to synchronize PCs, handhelds and mobile phones via the internet, is the latest company to attract funding from Palm Computing. The 3Com subsidiary, smartphone manufacturer Nokia Oy and other investors have put a total of $7.4m into the Los Gatos, California-based company. FusionOne claims that its Internet Sync software will be an integral component in the next generation of "smart" devices.

The system works by keeping a record of any personal information changes - names, addresses, telephone numbers, appointments and the like - on a central FTP server on the internet. When a user logs a device onto the internet, it replicates any changes made on the central server and updates any relevant information that has been changed on the device. Information is sent to the device in an encrypted, metadata format - describing the changes made - and translated by the software on the client side. The company has developed versions of the client software for Windows, the Palm OS and Nokia smartphones and is working on versions for the Mac OS and Windows CE. The system also works for standard mobile phones, although updates are pushed from a proxy server over the cell phone carrier network. Updates specifically for cell phones can be designated as such when entered in on another device.

Versions of the client software will available for free download over the internet. Vice president of communications at the company, Sally Winship Comollo, said that FusionOne hopes to make money by offering two different versions of the client software. The version available for free on the net will download a banner ad when the customer synchronizes devices, generating advertising revenues. The company will also make a premium version without the ads available for an annual charge of $39.95. The free version of the software can be set up to replicate at specific intervals while on the web, the premium version updates records automatically when a device is logged onto the net. The first beta versions of the software are expected to be available for download from the FusionOne web site in October.