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Bluetooth, the wireless networking technology that can connect a computer and mouse or a headset to a mobile phone, still shows promise despite a series of recent setbacks, according to vendors.

'By mid-next year, you should see a lot of products,' said Wilfred Ling, Asia-Pacific sales director at the Microelectronics subsidiary of Ericsson.

As part of a large trade group, Ericsson helped develop Bluetooth, along with other big names such as Dell, IBM, Intel and Microsoft.

'It will become part of your life, definitely,' Mr Ling said.

Both he and Tomson Lee, Hong Kong general manager for Zi Corp, told a small gathering organised by the Canadian Chamber of Commerce that Bluetooth was still under construction and its take-up was slowed by last year's technology stock crash.

Zi, which has worked on translation software in the past, has ventured into the mobile industry.

Last year Bluetooth, which was named after a Danish king, was promoted as a hot technology that would eliminate wires and drive the development of the personal area network.

However, Bluetooth had been hit by last spring's stock-market crunch, said Mr Lee.

The tumble of technology shares marked the bursting of the dotcom bubble, followed by a stalled economy in the United States.

The financial industry was scrambling to deal with the situation and companies slowed spending on new technology, which hit the development of Bluetooth products.

'Now, as people settle down, they are looking at what makes sense,' Mr Lee said. 'People are going back down to basic technology.'

There also has been uncertainty over competing standards among users and developers.

Bluetooth needed time to mature, Mr Ling said. Version 1.1 was released several months ago.

Another argument is that the whole technology industry needs to install Bluetooth in devices, which in turn means that it must be picked up by every component-maker - a huge task.

Although Bluetooth is inching closer to living up to the hype, Bertrand Bidaud, Asia-Pacific director of telecommunications research at Gartner, commented that 'everyone has been disappointed by the delay'.

In March, Bluetooth was set to strut its stuff at the huge CeBit trade show in Hannover, Germany. Organisers attempted to create the largest network yet using Bluetooth to let visitors connect without wires to a data network, but failed.

Also, a huge Bluetooth Exchange booth was set up at CeBit to demonstrate how products from various gear-makers worked together, but the applications were basic and far from exciting.

Mr Bidaud said the failure of the CeBit test had embarrassed vendors and sent a message that Bluetooth was not ready.

'The word from the industry is: this was worked out, but we have to see,' he said.

In late April, Microsoft said it would not include support for Bluetooth to XP, its new version of the Windows operating system, because quality hardware and software was not available.

Bluetooth, which has rivals in the 802.11 specification for wireless networking and HomeRF technology, was supposed to replace cables and create a new market for wireless devices, Mr Bidaud said. However, neither has happened.

'Most people are very cautious now and are waiting to see when products will come,' he said.



Bluetooth limps ahead despite setbacks