Microsoft and Telestra have announced that Telestra will be introducing the O2 XDA in Australia beginning October 17. The O2 xda+ is designed for seamless integration and functionality between PDA and phone and uses Microsoft Pocket PC Phone Edition 2002 software.

The XDA features a color, touch-sensitive screen, access to the internet and WAP and is a dual band mobile phone with both hands free and speaker phone capabilities. Ted Pretty, Telstra Corporation Group Managing Director, said "O2 xda pocket solution is currently one of the most advanced PDAs available, and we are pleased to be the first to commercially release this product in Australia with Microsoft."

Steve Ballmer said that Microsoft is very excited to be working with Telestra in bringing the Pocket PC Phon Edition to Australia. He added that "Telstra and Microsoft will continue to collaborate to bring wireless solutions to market that enable the end-user to realise true business potential."