Report: Verizon decides beleaguered Palm’s Pre is a no go

Apple Online Store “Palm’s Pre phone isn’t making the cut at Verizon,” Scott Moritz reports for TheStreet.com. “The Pre, Palm’s premier touch-screen smartphone, which has been an exclusive offering this year at Sprint, had been scheduled to arrive at Verizon in January. But people close to the discussions say Verizon has decided not to support the Pre.”

MacDailyNews Take: Now, is this because Pre units fall apart in users’ hands, they have no apps, the device’s antique mechanical keyboard is permanently stuck in vertical position, the company’s run by unethical moochers, and Pre is just not selling very well, or for some other reason(s)?

Mortiz continues, “The move would be a dramatic setback for the up-from-the-ashes Palm story. The company desperately needs to secure more telco partners to sell its flagship phone… Reached for comment on Verizon, a Palm representative says the company has never named Verizon as one of its partners.”

MacDailyNews Take: Sounds like an admission to us.

Moritz continues, “If the snub is true, the move would also be a reversal of Verizon’s position in May, when wireless chief Lowell McAdam told investors the Pre was coming in six months. Sources did say that Verizon could be more delicate about the decision and order just a small amount of Pre phones with no intention of lending much marketing support.”

Mortiz reports, “The reason for Verizon’s change of heart on Palm has to do with several factors, say these sources. The fact that the Palm Pre has not been the blockbuster in sales that it was expected to be is one problem… Another snag is Verizon’s VCast, its applications and mobile media download service, …is in direct conflict with Palm’s app store.”

Full article here.

MacDailyNews Take: We’ve learned and struggled for a few years here figuring out how to make a decent phone. PC guys are not going to just figure this out. They’re not going to just walk in.Palm CEO Ed Colligan, commenting on then-rumored Apple iPhone, Nov. 16, 2006

Bloodbath.

[Thanks to MacDailyNews Reader “Dale S.” for the heads up.]

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