Gates sees computing power to penetrate into kitchen

He and other company executives showed off a range of gadgets running Microsoft software, including the next generation of hand held computers, which the Redmond, Washington-based company has dubbed "pocket PCs."

The devices receive e-mail, store personal data and carry pictures and music files, and mark the latest attempt by Microsoft to unseat 3Com Corp.’s dominance in that market with its popular Palm series. The gadgets, made by companies like Compaq Computer Corp run Microsoft’s Windows CE, which has struggled to gain acceptanceamong consumers.

Walking through mock-ups of a living room and a den, Gates demonstrated a no-frills e-mail and Internet browsing device, interactive television through Microsoft’s WebTV platform, and software that lets dwellers use a PC to see who is at the door, control the stereo and broadcast music throughout the house.

"We’re going to have connections where you can get information and entertainment that you care about on all these different devices," Gates said. "In your pocket you’ll have a screen phone or a hand held game or a personal information manager."

Also on display was Microsoft’s Auto PC, a small computer mounted in the dashboard of the car that responds to voice commands and can read e-mails aloud. Answering critics who say the reign of the PC is coming to an end as simpler devices that tap the Internet become popular, Gates repeated his belief that the PC will evolve into a hub for private networks that will run throughout the homes of the future.

"Convergence is not having a singledevice you use for everything. You’ll have a plethora of devices," he said. "The home itself will almost be like a computer system." "I actually live in a house like that, and it really works," Gates said, referring to his costly computerized Seattle mansion, drawing chuckles from the crowd.

He said Microsoft was focusing on giving consumers more control over what they see and how they see it. "The Web is part of the picture, but that’s not all of it. People want to do creative things, they don’t just want to browse," Gates said.

Following in the footsteps of Apple Computer’s video-friendly iMac machines, Gates said the next consumer version of the Windows operating system would include software for editing video.

Microsoft was also set to unveil a partnership with national book chain Barnes & Noble to let users of Windows CE computers download books to read or listen to on the devices. "We’re going to make an announcement with Barnes & Noble that will really make the e-book explode," Gates said, butgave no further details.