Print 18 comment(s) - last by Sahrin.. on Apr 12 at 10:24 PM

Palm CEO Jon Rubinstein  (Source: Palm)

Palm Pre
HTC seems to be leading contender to purchase Palm

What a difference a few days makes. Just last week, Palm CEO Jon Rubinstein was talking rather positively about Palm and its future despite that fact that buzzards are circling overhead.

"We do have $590 million in the bank, and we have a plan that carries this company forward," said Rubinstein in an interview with Fortune last week. "We went through that same thing at Apple, by the way. I mean, it was a similar situation many, many years ago where you just didn't have the economies of scale. And once we crossed over that Apple became a cash machine."

Now, however, Bloomberg is reporting that Palm is looking for a buyer. There were rumors last week that Lenovo was interested in buying Palm, and Bloomberg is now confirming those reports. Goldman Sachs and Qatalyst Partners are said to be lining up buyers for Palm. The top names on the list according to people familiar with the matter include none other than Lenovo and smartphone maker HTC. Dell reportedly passed on a bid for the $871M company.

Naturally spokesmen for Palm, Lenovo, and HTC declined to comment on the report.

Palm seems like a natural fit for HTC and Palm's patent portfolio could give it some ammunition in the fight against Apple. It also wouldn't hurt to have webOS and its developers in HTC's back pocket considering that Windows Mobile 6.x is a dead end, and Windows Phone 7 is still about six months from launch and doesn't have a large, stable app base to draw from yet. Then again, webOS' 2,200 apps isn't exactly impressive either, but at least it's a start.

Palm has been losing money for the past few quarters and is sitting on a stockpile of unsold Pre and Pixi smartphones. Launching the Pre last year with Sprint was pretty much a sales disaster and the launch this year with Verizon has been equally disappointing as most people have overlooked the Pre and Pixi to go with more high profile phones like the Motorola Droid.

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By hiscross on 4/12/10, Rating: 0
By Abrahmm on 4/12/2010 10:00:17 AM , Rating: 3
Yep, I've never seen such a large scale of unnecessary limitations and corporate control. That's what you meant by "scalable" right? Do you even know what that word means? How do you "scale" an iPhone?

You can buy an over priced fashion item, or you can get a real smart phone. Go Android.

By Suntan on 4/12/2010 1:08:36 PM , Rating: 5
How do you "scale" an iPhone?

Easy. You go into the Apple store and ask them for an iPad...

<takes advantage of that slow pitch right over home plate>


You would have to have been blind
By SLEEPER5555 on 4/12/2010 3:32:53 AM , Rating: 2
You would have to have been blind to not see this coming!

my bet is HTC scoops them up, they make hardware palm makes software its a perfect match.

By psypher on 4/12/2010 7:54:30 AM , Rating: 3
webOS on HTC designed hardware would be something I would seriously consider for my next phone. HTC has this itch to pack in some seriously powerful hardware in a phone... That kind of speed and build quality would just make webOS really, really attractive.

By geddarkstorm on 4/12/2010 12:24:26 PM , Rating: 2
Palm's Rubinstein Says He Helped Save "Dying" Apple, Will Help Save Palm

By.. selling it! Yes!

But really, I like your idea of HTC grabbing them up. It'd be a beautiful partnership. I guess we'll see, seems almost too much to hope for.

HTC Should buy em
By Abrahmm on 4/12/2010 10:02:01 AM , Rating: 2
HTC should buy out Palm for their patent portfolio, walk into court and watch Job's pants turn brown. A counter-suit would be poetic justice.

Then HTC could take the webOS guys and stick them on Android projects(like SenseUI and such).

RE: HTC Should buy em
By omnicronx on 4/12/2010 11:33:03 AM , Rating: 2
Bingo.. HTC does not need Palm for its products, its the patent portfolio.. Apples case against them will suddenly go from picking on the little guy, to playing with fire..

That being said, I don't agree with your sentiments on WebOS, they should keep these guys right where they are, it is the one brightspot still remaining at palm..

Cisco is best fit
By Lord 666 on 4/12/2010 8:24:36 AM , Rating: 2
By purchasing Palm, Cisco can merge its Flip line into a working mobile phone handset at a very low cost of entry.

Cisco has the cash and resources to make this happen successfully.

By Suntan on 4/12/2010 1:12:16 PM , Rating: 2
HTC would seem to be happy making one Andriod phone after another.

Would they expand on WebOS, or shut it down?


By Sahrin on 4/12/2010 10:24:29 PM , Rating: 2
Oh, you meant for the whole company.

By gmyx on 4/12/10, Rating: -1
RE: 1$
By Brandon Hill on 4/12/2010 7:36:08 AM , Rating: 2
When did you ditch Palm (what was your last Palm product)?

RE: 1$
By gmyx on 4/12/2010 7:54:26 AM , Rating: 2
T3. Great device, still work thought missing a few screws. It was my 3rd device:
* IIIc (broke the screen)
* M130, gave it away to my dad when his Palm device broke.
* T3, stopped using it last year when it suddenly hard-reset (static discharge I think).

I got the IIIc in 2001.

RE: 1$
By Targon on 4/12/2010 7:58:50 AM , Rating: 2
Then you missed a number of great devices over the years, including the often unappreciated Treo line of smartphones. The reason Palm is having problems is because the OS development got spun off and then mostly abandoned(almost no updates). The delay in developing a NEW OS hurt, and Sprint not being a good choice for an exclusive for WebOS devices hurt even more.

AT&T could really help if they would get off their hands and start offering the Palm Pre Plus and Pixi Plus, but they still have not announced an official launch date.

RE: 1$
By Brandon Hill on 4/12/2010 8:02:56 AM , Rating: 2
I was always a Windows CE/Pocket PC guy myself in college. I can remember the flame wars that we Pocket PC folks would launch against PalmOS guys on forums (i.e., we have a color screen and you don't; we have have way more features/options; we have a 206MHz StrongARM processor and you're stuck with slow crap, etc.)

The PalmOS guys would always counter with "It just works". Something sounds eerily similar here :-)

RE: 1$
By gralex on 4/12/2010 9:12:22 AM , Rating: 2
"You don't understand! I coulda had class. I coulda been a contender. I could've been somebody, instead of a bum, which is what I am."

RE: 1$
By Brandon Hill on 4/12/2010 9:17:26 AM , Rating: 4
"It ain't the way I wanted it! I can handle things! I'm smart! Not like everybody says... like dumb... I'm smart and I want respect!"

"And boy have we patented it!" -- Steve Jobs, Macworld 2007

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