"But while engineers fine-tune Bluetooth and major manufacturers declare its rise is imminent, troubles have emerged. First, with the souring of the economy, corporations - usually the first to adopt new technologies - have cut budgets. Second, sales of handhelds and cellular phones, expected to be market drivers for Bluetooth, have plunged. And last, another wireless technology, originally expected to complement Bluetooth, came in and stole much of its thunder.

The other wireless networking standard, called IEEE 802.11b, or Wi-Fi, has picked up strong momentum among information technology managers and technology savvy consumers."

"Supporters of both technologies say there is room for both in the marketplace. But if Wi-Fi succeeds in adopting Bluetooth's most attractive attributes - low power consumption and cost - it could be used in a wide range of small devices, which could then use the Internet to communicate with each other. This script, some observers predict, could render Bluetooth a well-planned, heavily financed failure.

News.Com Bye-bye, Bluetooth

"Even without competition from 802.11, Bluetooth would have major challenges. That's because the very concept of a cable replacement like Bluetooth is flawed. In a world where every device is connected to a single network (read: Internet), there is no need to connect individual devices on an ad hoc basis.

Consider this--a walkie-talkie is a device that supports communication directly between two nodes. A cell phone is a device that supports communication between "any" two nodes because they are all connected to a common network and they all have unique addresses. Bluetooth is akin to a walkie-talkie, whereas 802.11 connected to the Internet is more analogous to the cell phone model. Obviously the cell phone has a much higher value proposition than the walkie-talkie."

EE Times Bluetooth a no-show as 802.11b clicks at Rawcon

"Support for Bluetooth may be waning, as 802.11b wireless networks rise and fixed wireless and ultrawideband stub their toes on technical hurdles. That's the implication from the program lineup at this week's Rawcon conference in Boston, where a paucity of Bluetooth papers adds fuel to analyst speculation that the highly touted wireless networking technology may not be able to compete with the faster 802.11b on one end and simpler, low-power alternatives on the other.

Represented by a mere two papers, Bluetooth is notable mostly by its absence from the IEEE's Rawcon technical conference, which focuses on all things wireless."

Tornado Insider Bluetooth Shows Its Teeth

"The technology sector has become accustomed to seeing hyperbole reduced to disappointment. The short-range radio technology Bluetooth has been no exception; backed by major players including Ericsson, Nokia, Intel, IBM, and Toshiba, it is now behind schedule and industry expectations."

"According to analyst house Ovum, early expectations of Bluetooth were characterized by "technological myopia," which overestimated its short-term impact. "The immediate future of Bluetooth involves some much needed, although unexciting, connectivity applications," says Jeremy Green, principal consultant with Ovum. "The more futuristic applications, which are the source of much of the hype surrounding Bluetooth, will have to wait until there is a user base to support them.""

SiliconValley.Com Palm puts faith in Bluetooth over rival wireless technology

""In terms of power, Bluetooth will consume less power, but it also has less range," said Craig Mathias, principal analyst with Farpoint Group in Ashland, Mass. "There's nothing to keep someone from turning the range down in an 802.11 radio and getting much the same effect."

Mathias said he thinks if the backers of 802.11b decided to position it as the one solution for wireless connectivity, Bluetooth would wilt. "I've been a Bluetooth skeptic for quite some time now," he said. "It's becoming increasingly evident that 802.11b has advantages in range and cost. I think 802.11 can do anything that Bluetooth can do."