HTC developed a PDA prototype fpr Compaq based on 2 innovations: a coloured screen and a Windows software platform. This PDA was the only coloured handheld personal computer at that time the first successful innovation by the fledgling startup. The software platform, called Windows CE, was originally developed by Microsoft for large consumer electronic products. HTC paid a licence fee of over US$1 million for the right to adapt it to PDA. This adaptation allowed HTC's PDA to communicate with PCs and run other Windows applications.