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New Plans at Palm

Boot Camp feature for Wednesday, July 11, 2001

Palm's plans for a turnaround. Bloomberg Bootcamp, a report on today's technology. When you take a look around at how many people are carrying those little Palm computers, it is hard to imagine how the company could be losing money. More than sixteen million Palm Powered handhelds have been sold. The company's Senior VP and Chief Strategy Officer Douglas Solomon... .

"In the U.S., penetration is about five percent of households. And that's in the U.S. and there are many other countries that handhelds haven't even begun to penetrate the market yet."

Palm is making a new push into corporate markets as well... where sales of rival PocketPC devices have been making inroads. Solomon says Palm's new expansion capabilities will change the way the handhelds are used...

"I think the big change which is already happening is using it for communication... for email and instant messaging... particularly within our enterprise customers. They really want to use it for both of those as well as for connections to the databases that they already have within the organizations."

The development of always on connected technology for the Palm is in the works. That's one area where another rival... .the Blackberry from Research in Motion has an edge. For now at least, Palm competes not only with Blackberry and PocketPC devices... .but with companies like Handspring and Sony which license the Palm OS. From Solomon's point of view...

"I think licensing and other kinds of partnering are really critically important because long term, we need to have a critical mass in the marketplace for our platform."

Palm's Chief Strategy Officer Douglas Solomon. Bloomberg Bootcamp, I'm Fred Fishkin.