Palm up for sale — should Apple buy before HTC does?
Reports are swirling around the internet that smartphone pioneer Palm is putting itself up for sale, with rumored suiters that include HTC and Lenovo.
After bringing in former Apple iPod lead Jon Rubinstein and members of Apple’s iPhone team, Palm went from an aging PalmOS platform to the ultra-modern webOS which leapfrogged other platforms in several key areas like multitasking, notifications, and social integration. Problems with timing and hardware, however, prevented them getting the traction they needed in the market and led to slower than expected sales.
While the idea of HTC H2D/EVO 4G level hardware no doubt brings drool to the mouth of every true geek, HTC getting a hold of Palm’s core mobile patent portfolio could radically equalize the relative positions in Apple’s infringement lawsuit.
Although typically left as a throw-away line at the end of blog posts (like we’re doing here, sorry!), the idea of Apple buying Palm is also interesting. They obviously have the cash (roughly 40 billion in the bank). Jokes could be made about Steve Jobs just wanting to get Ruby and those engineers back for the pleasure of firing them, but Palm’s patents are real and really important.
Apple probably wouldn’t have much use for webOS (neither would Microsoft or Google), however, so here’s hoping a company that wants webOS, that wants to continue driving it forward with great hardware and strong marketing, picks up Palm.
Apple needs the competition and so do we.
(And we’ll add our best wishes to everyone at Palm.)
[Bloomberg via PreCentral.net]
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So that mean no more pre ???
As much as Apple loves owning patents, I could see them snatching it up from HTC just so they couldn’t have it. At this point, Google is about the only other company that could out bid them.
Palm Inc is plain stupid to release Pre only on CDMA!! Are they nuts. Apple made iPod hit because it was released on GSM. Palm will never learn they deserve to go on sale.
lol I meant iPhone not iPod.
I believe if Apple do not buy them then RIM should because RIM blackberry OS is horrible and 20 years behind the curve. This would give them a viable OS with there good hardware
They had their one shot and they failed. Hopefully it’s a company like HTC which can be a true merger preserving company integrity on both sides. If it is a company like hp or Dell or ge or some non mobile corporation then Palm is truly dead. It’s a sad day.
I was interested in buying but when I called that number I got some movie star.
Yep! Apple need to buy Palm just to keep the upper hand over HTC in their upcoming battle in the courts. Plus it would give Apple a vice like grip over any competitor that wants to throw down.
Apple should buy Palm and rename the Pre calling it “iPhone Lite”. then Verizon would have the iPhone they always wanted.
Does anyone think that Rubenstein or McNamee would accept an offer from Apple if it were tendered? In this case, ego could trump $.
A deal isn’t going to be done overnight and approved in a similar timeframe. It’ll be months before any sale is finalized, approved and finished. HTC would be a good company to buy them.
If it’s for sale they can have the palm pre but running iPhone OS !!’
If Apple buys Palm will FTC approve such a deal?
God. Please. No.
Does the FTC have a right to deny? I mean they let all these banks that were “to big to fail” merge through the years. Joke. palm and apple should be nothing–especially if apple pieces it out (keeps key patents and few things) resells other parts–maybe even to HTC?
Yes Apple should buy Palm! I’d like to see card multitasking.
Really don’t see why Apple would buy Palm, or really HTC for that matter. A good fit I think would be Motorola.
Apple fans repeat after me “Competition is a GOOD thing”. The fact is Palm is struggling financially is an overall negative for the smartphone industry. We want Apple to feel some “heat” to keep the innovative juices pumping.
I don’t think the FTC would have a problem with apple buying Palm. There is plenty competition even with Palm gone. I hope Apple is considering an aggressive offer. Palm is worth premium just on their patents alone.
@P Rock is exactly right. The competition is what keeps Apple giving us new things. Even though the competition seems to have some things first Apple takes their time and does them better. So the more competition the better products we will continue to get!
Honestly, I see this as a great opportunity for Apple. In my opinion, WebOS comes closest to the iPhone. If Apple aquired Palm, they would not only wipe out the competition, but they would also enhance the iPhone OS based on what Palm has to offer. They could also release more phones in CDMA versions.
I have a feeling that if Apple bought palm they would just dismantle it, and sell off the assets they don’t want.
Not going to happen. Palm would most likely have a “poison pill” in their purchase agreement to keep competitors from shutting them down after purchase and running off with their patents. HTC would be the ideal candidate. HTC hardware webOS will = Badassery.
i hope to God that they buy palm
Ah the joys of $40bn in cash and a 5-year (now more like 2-year) lead on the competition! I thought Apple would buy HTC, now Palm seems like the logical target . . . Heck, why not buy both? Palm’s critcal employees will probably quit (or Steve will have the joy of firing them), but you get the patents cheap; and HTC makes great hardware.
Of the three names bandied about above (Apple, HTC, and Google), HTC is the only one that makes sense. In Apple’s hands (and, to a lesser extend, in Google’s hands), Palm would end up just a gutted satchel of patents — a sad send to once great company.
HTC, on the other hand, is a hardware provider that relies on others to provide the software; this would bring that expertise in-house. While HTC would benefit from Palm’s patent arsenal against Apple, they could also make use of the technology, as well as use it as leverage against both Google and Microsoft, since they would not longer be totally dependent on those partners for software.
If you only care about your side’s short-term “winning”, root for Apple or Google to buy Palm. If you care about competition in the smartphone space, root for HTC — or somebody else — to buy Palm.
It absolutely makes sense for HTC to buy Palm!
@Dragonfly
Yup…you’re one of those mysterious people called “fanboys”.
How you could actually champion Apple buying Palm to knock out every bit of competition is beyond me. You know Apple is only Apple because their is competition?
For example, lets go the “Apple is the best” route. In that view, Windows suck to high hell. Reason they suck…Windows has no competition at all in the desktop space. 90% of the market and that has not changed in the many years it has had it.
Would you want Apple to approach that “Windows” mentality and just start sucking because they have no one to battle against?
They already milk you for every incremental hardware/software upgrade they can get out of the iPhone. Would you want that to be spaced out even further???
there* Not their…typing too fast.
I hope apple buys palm, goes under, gets bought out by taco bell and creates a gordita phone.
Palm has been going downhill for a time. I was excited about the pre, but compaired to the iPhone it lacks. I really thought they would get back on track from the palm-one days. If your going to compete in this market, you have to have a better product. I guess this was expected.
Dell should buy it
Apple should by Doritos — they are yummy.