Shares of beleaguered Palm rally on Nokia bid speculation

12 Black Fridays of the Season“Palm shares are trading higher this morning on what describes as ‘NOK for PALM’ chatter,” Eric Savitz reports for Barron’s.

“While there’s not a lot to go on here, I would note that there’s certainly a case to be made for Nokia buying Palm; the Finnish mobile phone giant has lately seen its share of the smart phone market sag, as buyers pass on the company’s Symbian-based phones for models based on more modern mobile operating systems,” Savitz writes.

“Buying Palm would give the company control of the well-regarded Web OS software, which certainly offers a more compelling user experience than Symbian,” Savitz writes.

Full article here.

MacDailyNews Take: As we’ve been saying since Palm announced the Pre and WebOS:

The more we see and hear from Palm, the more we believe they’re angling for a buyout.MacDailyNews Take, January 10, 2009

Palm’s Pre dog and pony show is nothing more than takeover bait. They simply do not have the resources necessary to create another mobile platform, especially one that is superfluous. If Palm’s Pre is not a ruse, then those responsible are kidding themselves.MacDailyNews Take, January 21, 2009


  1. All the phone companies had their chance and they didn’t take it.
    Now Apple is here and is doing everything other companies supposed to be doing a long time ago. They are doomed and there is nothing they can do, nor “Microsoft-RIM” or “Nokia-Palm” or “Samsumg-LG-Sony”.

    Nothing, good bye ” width=”19″ height=”19″ alt=”smile” style=”border:0;” />

  2. PALM current buy out price is projected to be $4B.
    Let’s see, WebOS with no native app development in place = $4B.
    Android with a semi decent app development plan and Google money in research and maps = $0.

    PALM = Bono ready to dump the stock for a quick penny = phail!

  3. This would be smart on Nokia’s part. They could layoff their entire Symbian staff, thereby maintaining currently development expenses), write down their Symbian acquisition costs (tax benefit) and instantly gain a modern mobile OS AND competent development staff.

    On top of that WebOS would reinvigorate the Nokia brand with marketing appeal.

  4. I am still confused as to why the WebOS is heralded as great technology.

    When Apple introduced it, the pundits poo-poo’ed on it, but when a has-been does it (and miserably at that), it’s like the second coming of Christ. These guys don’t know their heads from their asses when it comes to technology, much less investing and possible business transactions.

  5. Abdel:

    They may even have decent models with Symbian, it just doesn’t matter. They are clearly Dell of mobile telephony. And they are angling for an Acer of mobile telephony (Palm).

  6. Just thinking…

    If this Web OS really gains ground with the support of a big corporation such as Nokia, MS or any other company, Apple will sue the buyer for patent infringement out of the water the next day. Palm has not been sued but there is always that possibility.

    That chance increases if it is Nokia doing the buyout. Wasn´t it Nokia that sued Apple a few weeks ago? What a chance for Apple to get back at Nokia!

    I dont think this will fly.

  7. Fortunately for Palm, if you want to buy yourself a modern mobile OS they’re your only option. Blackberry is too expensive, even if they’d sell. Apple is worth more than Google.

    Your alternative is develop from scratch, or depend on MS or GOOG. And then even if the OS is good, you’ll be slugging it out with dozens of other manufacturers.

    Hard to imagine that there isn’t someone who ends up buying PALM.

    And clearly AAPL is going to suck up the bulk of the profits.

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