Fujitsu, Toshiba Buy Into Start-Up General Magic

Two Japanese electronics giants took key steps Monday toward ensuring that a computer language developed by Mountain View, Calif.-based General Magic Inc. will become a global standard for multimedia communications technology.

Fujitsu Ltd. and Toshiba Corp. said they will purchase equity shares in General Magic, the developer of the Telescript computer language and Magic Cap software, which is used in some of the new-generation hand-held computers known as personal communicators or digital assistants.

General Magic, a 4-year-old start-up, already includes among its investors the world’s leading computer and electronics firms: Apple Computer Inc., Sony Corp., AT&T;, Motorola Corp. and Matsushita Electric Industrial Co. The addition of Fujitsu and Toshiba provides strong impetus for General Magic technologies to become worldwide standards. Neither Fujitsu nor Toshiba disclosed what its equity will be in the privately held firm.

Fujitsu and Toshiba said they plan to make hand-held computing and communications devices and offer on-line services based on General Magic software technology.

“We strongly endorse Telescript and Magic Cap as new industry standards because we are convinced that they are the right technologies for our industry and will truly help bring about the information society of the future,” Mikio Otsuki, Fujitsu executive vice president, said at a news conference. Fujitsu will use Telescript to offer Japanese language communications services, he said.

Akira Kuwahara, general manager of Toshiba’s Multimedia Division, said that Toshiba is buying into the firm because it “recognizes the importance of offering insider support for General Magic’s software systems, strong candidates to become de facto standards in the emerging communication industries.”

Michael Beirne, a Fujitsu spokesman, said there is a strong trend toward Telescript becoming an international standard.

“We’re adding our momentum behind it as well,” he said. “When we see a standard coming up, we have to evaluate our product lineup. For us, a common standard that would allow our multimedia products to reach a wide audience is a very good thing.”