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Analyst Says Palm is Screwed

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Analyst Michael Walkley of Piper Jaffray says Palm stands to lose most from iPhone's grand entrance into the smartphone market. Walkley told Barons

“With the BlackBerry Curve ramping and iPhone launching June 29th at AT&T, we view Treo as the most impacted by these launches and anticipate even further declines in sell through trends.”

Palm has enough problems on its hand dealing with an obsolete mobile platform and products that are equally outdated. To make matters wose, the company made a failed bet on a brain-dead Linux portable that it hoped would spark significant sales growth, which isn't going to happen.

Palm is running out of cash and ideas. Unless the company can pull a breakthrough product out of its hat soon, they won't be in this market much longer.

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There are 2 comments. Add yours.

RB says:

This is the perception that many people will get when a company at the top of its game sells off it's own software division, licenses the competitions OS and ceases to make substantial improvements in its hardware. Apple was able to carve a path into the cellphone industry because others failed to innovate. Maybe the iPhone is enough to jump start the creativity that helped make Palm great.