Palm (NASDAQ: PALM) on Thursday said it is on its way to 2 million units shipped of its Centro smartphone, a low-end device whose popularity may be challenged by Apple's (NASDAQ: AAPL) new, lower-priced iPhone.

Centro, 1 million units of which shipped through the end of March, will be sold through Verizon Wireless from Friday, said Brodie Keast, senior vice president of marketing at Palm.

He added that the phone's touch screen and full keyboard are popular with consumers upgrading from traditional mobile phones.

Asked when the company expects shipments of the Centro to reach 2 million, Keast said, "We are confident we will get there in 2008."

Verizon Wireless is a venture of Verizon Communications (NYSE: VZ) and Vodafone (NYSE: VOD).

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