MOUNTAIN VIEW, Calif. -- Sun Microsystems Computer Corp. announced Tuesday it has signed a licensing and joint-development agreement with Russian concern ELVIS Ltd. to develop hand-held computers to communicate by satellite.
ELVIS, a Russian acronym that stands for Electronic Computer and Information Systems, has attracted large amounts of interest because it involves a team of scientists that built secret Soviet spy satellites.
Sun has agreed to take a 10 percent equity position in the 2-year-old company.
Although there is no actual connection between the venture and the late singer Elvis Presley, Sun sent out invitations to its news conference to announce the deal that compared the 'historic' venture with the singer's 1954 deal with Sun Records.
ELVIS consists of 53 Russian scientists led by Alexander (Sasha) Galitsky, a well-known communications expert and chief designer of a proposed network of communication satellites for the Russian computer space program.
Sun said that ELVIS chose it as its U.S. partner after discussions with many other major American computer companies.
The announcement from Sun, which specializes in desktop computer workstations, puts it in a race with rivals seeking to develop hand-held communications devices. Apple Computer Inc. has been promising its Newton machine will be ready later this year, while start-up Eo Inc. has backing from American Telephone & Telegraph and Olivetti.
Additionally, several groups of companies plan to launch communications satellite networks. The best known so far is Motorola's $3.3-billion Iridium network of 66 satellites, expected to be operational in 1998.
Sun said its engineers will work with ELVIS on wireless communication projects and that ELVIS will use Sun's machines and computer chips on workstation-based products they develop.
One published report recently said ELVIS had developed a microwave antennae so small that it fit on a single computer chip. If true, the technology could be a major in reducing the size and weight of hand-held comunications devices and boosting their capabilities.
Sun said one possible goal would be the design of a wireless communications network utilizing Sun's computers to give former Soviet Union a modern communication infrastructure.
