Mr. Higsby was a WWW member in the first game, but changes his ways after being defeated by Lan. Here, he was merely being brainwashed for one of the WWW's plans, acting as both a distraction and a test for the WWW to see how much of a threat Lan could be.
You can see that this design borrows some details from the original Number Man, but he's also completely different. Incidentally, this would be C. F. Number Man if he weren't brainwashed, because there's a lack of red eyes to indicate that. His brain can send strong signals and his claws help to get a tight grip on someone or something.
Mega Man Battle Network © Capcom
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