After weeks of speculation, Palm has a buyer. HP today said it plans to shell out big bucks to acquire the company, now best known for its Palm Pre and Pixi smartphones. While Palm had been betting on the devices — along with their webOS software — to drive a comeback, sales never quite met expectations in a market still dominated by the iPhone and the growing presence of Google’s Android.
Now, HP is aiming to leverage Palm’s long expertise in mobile devices. Enterprise Mobile Today takes a look at the implications for both companies and for the industry at large.
Palm received a $1.2 billion lifeline from computer giant HP, which announced a definitive agreement to buy the smartphone supplier for $1.2 billion. The transaction has been approved by both HP’s and Palm’s board of directors, the companies said.
A well-respected smartphone pioneer, Palm’s innovative webOS mobile operating system has garnered critical praise, but it’s smartphone line has struggled to gain traction in a highly competitive market that has seen Apple’s iPhone, Android devices and Research in Motion’s BlackBerry line all thrive. But the considerable resources of HP (NYSE: HPQ) could change all that.