The changing face of Comdex

November 9, 2001: 2:59 p.m. ET

Technology trade show will have lower attendance and heightened security.
By Staff Writer Richard Richtmyer

NEW YORK (CNNmoney) - Call it another victim of the sharp decline in technology spending and the Sept. 11 terrorist attacks.

Comdex, the United States' largest technology trade show and conference, will kick off on Sunday. But there will be some noticeable differences this year.

For starters, fewer people are expected to attend the Las Vegas event. Organizers are preparing for about 150,000 participants. That's about a 25 percent drop-off from last year and far below the record level of 230,000 people who came out in 1997.

About 2,000 exhibitors will show off their goods on roughly 750,000 square feet of floor space at the Las Vegas Convention Center. Last year, about 2,100 exhibitors were there, and their displays required more than 1 million square feet of floor space at the convention center and other locations throughout Sin City.

The shrinking numbers mirror a broader trend in the information technology industry, many segments of which are on their way toward capping off one of the most punishing years ever.


Security at this year's Comdex will be much tighter than ever before.

� "Obviously even before the events of September, the industry was in an interesting place and everyone was hurting a little bit in terms of attendance. But we felt we've tracked pretty well," said Kim Myhre, an executive of Key3Media, which organizes the event.

Key3Media also is offering shuttle bus service to Las Vegas from San Francisco, Los Angeles and Phoenix for people who want to attend Comdex but would rather not fly.

And once there, attendees will be met with substantially enhanced security.

For example, with the exception of exhibitors and the media, attendees will not be allowed to carry bags of any kind onto the exhibit floor or into any of the keynote presentations. Those attendees who are allowed to bring bags in will be searched before entering.

Bomb-sniffing dogs and surveillance cameras also have been added to the usual security measures, organizers said.

Still, all the keynote speakers - including Microsoft Chairman Bill Gates, Oracle Chairman and CEO Larry Ellison, and Cisco Systems President and CEO John Chambers - have reconfirmed their scheduled appearances at the event.

Gates will kick the event off with a keynote presentation Sunday night, while other executives will give theirs later in the week.

A new focus on security
Comdex - the name derived from "Computer Dealers Expo" - has its roots in the PC industry. But in recent years, its focus has shifted into other areas of technology, including the Internet and the plethora of high-tech wireless gadgets and gizmos making their way into the marketplace.

That trend is expected to continue at this year's event, with established vendors such as NEC expected to preview its soon-to-be released Pocket PC device alongside other devices from smaller outfits such as upstart Danger Inc., whose "Hiphop" mobile device combines a mobile phone, digital camera, instant messaging and entertainment features.

But this year's event also is expected to have a special emphasis on the technology used to enhance security, be it at airports, office buildings, or on computer networks.

Many companies that specialize in biometrics - which refers to the technology and science of using unique biological characteristics to verify a person's identity - have only recently expressed an interest in participating in the event, Key3media's Myhre said.

"There is a biometrics pavilion in the security area of the [show floor] where we have a number of new companies who have all come in over the last couple of weeks," he said.

"There also will be a special conference focusing on security as well as panel discussions focusing on disaster recovery and security," Myhre said.

Oracle's Ellison also is expected to touch on the need for enhanced security in data networks in his Monday night keynote, which company sources said will center on the theme "unbreakable."

The combination of the depressed state of the technology business and the inconvenience to attendees caused by the beefed-up security measures are likely to make for a different overall tone at this year's Comdex.

In light of the circumstances surrounding it, Myhre said the organizers have tried to position this year's Comdex as a place where industry participants can focus more on the benefits of technology moving forward, and not so much on the difficulties the industry has been struggling through recently.

"We really see this as a great platform for talking about the year ahead rather than the year behind in terms of what kinds of things we can expect," he said.

"I think all of these guys are really looking to talk about a sense of optimism - a different IT industry moving forward, but an optimistic one in terms of technology innovation, growth in the business and some exciting new things that are happening," Myhre added. "We're hoping to instill that mood and that tone around the event."