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Palm puts itself up for sale

Well, after the abysmal Pre sales, who didn't see this coming? Palm has put itself up for sale. Bloomberg reports that, at this point, Taiwan's HTC Corp. and China's Lenovo Group Ltd. have expressed interest in the company and may make offers. However, the most likely buyer of Palm is expected to be HTC. Though HTC has committed to the Android platform, Palm has something they desperately need: patents.

In March Apple filed suit against HTC for infringing on 20 patents concerning the iPhone's user interface and hardware. If HTC could acquire Palm's patents they would have ammunition to use against Apple, which would open up the possibility of a counter-suit. As of market close on Friday, Palm was worth only $870M, making it a relatively cheap company to buy.

So cheap, in fact, that it would make sense for Apple to snap the company up -- again, just for the patents. An Apple acquisition of Palm would not only prevent HTC from acquiring the ability to counter-sue Apple, it would strengthen Apple's patent portfolio even more and leverage greater protection against its intellectual property.

[via 9to5]

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Apple

Well, after the abysmal Pre sales, who didn't see this coming? Palm has put itself up for sale. Bloomberg reports that, at this point,...
 

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Mike Wong

So sad for Palm .... especially when we recall how she created the whole PDA market even Steve Jobs once believed his Newton could have been able to.

If I were Eric Schmidt, I would simply use some petty cash to buy out Palm to help turning the Android platform into real iPhoneOS contender.

April 13 2010 at 3:01 AM Report abuse rate up rate down Reply
glad

waste of money if Apple bought Palm just wait a few months and they'll get all their tech guys for peanuts and the patents at the fire sale. Alas a great innovative company that lost its innovative way.

I just dug out my Palm lllxe and my Palm m500, which still work but no need to use them!!

Palm you could have been a contender!!

April 12 2010 at 6:14 PM Report abuse rate up rate down Reply
Cody Rogers

Well heck, for that price, I'll just buy Palm... I could probably do some good being the CEO of another company...

April 12 2010 at 1:04 PM Report abuse rate up rate down Reply
SIP

IF Palm owns any patents which Apple has violated (blatantly or otherwise), wouldn't it have made sense for Palm to sue Apple some time ago and get awarded loads of dosh, either by out-of-court settlement or by judge & jury? The first iPhone is nearly 3 years old, so enough time there to determine whether Apple has nicked Palm's patented ideas.

I know it could take years, but still...

April 12 2010 at 11:25 AM Report abuse rate up rate down Reply
SIP

Interesting read here (especially the positive comments):

http://jkontherun.com/2008/08/23/ryan-block-revi/

April 12 2010 at 11:19 AM Report abuse rate up rate down Reply
brian.gillespie

If Apple were to dial the first 5 numbers of Palm's corporate office phone number, Google would buy Palm so fast it would make your head spin. In fact I fully expect Google to buy Palm for the patent portfolio. I would be a good idea for Apple to preempt this, but it would just turn into a bidding war.

April 12 2010 at 11:10 AM Report abuse rate up rate down Reply
1 reply to brian.gillespie's comment
brian.gillespie

I meant 'it would be a good idea,' not 'I would be a good idea...'

April 12 2010 at 11:13 AM Report abuse rate up rate down Reply
SIP

First of all, Apple absorbing Palm wouldn't be something new as Steve tried to buy Palm a long time ago, before Palm undertook IIRC the first of its many re-structurings (split software/hardware division before combining them again & so on). Palm rejected Apple's offer at the time, wanting to it alone.

If HTC does acquire Palm, it doesn't get leverage over Apple in the suit, simply because you can't defend yourself for breaching someone else's patents by acquiring new ones. Legislation/statute can be retrospective, but you can't back-date patent acquisition.

The other point is: what if all of Palm's combined patents still don't cover HTC for violating patents that only Apple holds? How is that going to help HTC? That would be one massive legal defence bill -- $1000 million ($200m for lawyers and $800m for Palm!!

April 12 2010 at 11:00 AM Report abuse rate up rate down Reply
John.B

Market cap < US$1billion. Just sayin'...

Source: http://finance.yahoo.com/q?s=PALM

April 12 2010 at 10:23 AM Report abuse rate up rate down Reply
1 reply to John.B's comment
John.B

And not that it would even enter into the conversation, but wouldn't that chap Jon Rubinstein's hide to get bought out by Apple?

April 12 2010 at 10:24 AM Report abuse rate up rate down Reply
Cody

Bwahaha, Apple buying Palm is a good deal? It's a waste of nearly a billion dollars on crap technology. You need to stop spouting bull crap, this has been extensively covered elsewhere on the net already.

April 12 2010 at 10:00 AM Report abuse rate up rate down Reply
btblomberg

If Apple bought Palm I think it would likely be dissolved into the company. Many of the engineers at Palm were at Apple not to long ago as Rub brought them over. They may be out of work with Rub.

WebOS would be shelved and anything they liked put into iPhone OS, if there is anything. Apple may do it just to get those patents and keep them from HTC.

If I were running Apple I would likely do that and put Palm into support only mode for the remaining warranty period to protect my turf. It also may make Nokia's suit have less sting depending on the patents.

April 12 2010 at 9:58 AM Report abuse rate up rate down Reply
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