McNealy and Microsoft share NC vision

Microsoft has defended the personal computer against claims it will be soon be replaced by mobile devices and internet-connected terminals - even though it is contributing to the spread of these new devices.

Speaking in a panel session at Comdex, which included representatives from rivals Palm, Sun Microsystems and Psion, Microsoft senior vice president of consumer strategy Craig Mundie argued that there was still a place for the PC.

"The future is going to be one of the PC plus its friends. I think the PC will add value," said Mundie.

However, Scott McNealy yet again tried to win the crowd over with a demonstration of network computing. "For Sun it's the same old story, we haven't had to change," he said. "This network thing is happening."

Despite its defence of the PC, Microsoft is an increasingly strong player in the non-PC device market, with its Windows CE-based mobile devices. It also unveiled its next-generation internet terminals - called MSN-based Web companions.

The company announced at Comdex that this will be a mobile low cost e-mail and web access device.

Mundie was asked if the spread of mobile devices threaten Wintel PCs.

"If it is bad news (for Wintel) then we're contributing to it ourselves," he said.