Maybe it is a coincidence but Sony could not have released the new Mylo appliance at a better time given our discussion yesterday of SMS in North America. Is this the App that will make cellphones obsolete? Given Skype's involvement in the Sony technology and the growing availability of open wireless networks, Mylo is an interesting market entry. Here is what the international technology press is saying:

BEIJING, August 9 (Xinhuanet) -- Sony Tuesday unveiled a new pocket-sized gadget for instant messaging and other Internet-based communications.

The Sony mylo, weighs 5 ounces and is 4 1/2 inches long, slated for availability in September at a retail price of about $350 (euro270), just in time for school. It's designed for 18- to-22-year-olds who keep in touch with their friends through IM, according to media reports.

The gadget will let you instant message, store and play music, photos and video, e-mail, and make Internet phone calls using a wireless Internet connection. The Mylo has 1 GB of memory, with an external slot for a memory stick (an additional $170) to bump it up to 5 GB. It comes with matching headphones and a mike to make Skype calls. It also comes with Yahoo and Google messaging services, but not AOL's AIM. And while you can cruise the Web, sites that use flash technology (such as YouTube) won't be accessible.