HP’s press release states, “The combination of HP’s global scale and financial strength with Palm’s unparalleled webOS platform will enhance HP’s ability to participate more aggressively in the fast-growing, highly profitable smartphone and connected mobile device markets. Palm’s unique webOS will allow HP to take advantage of features such as true multitasking and always up-to-date information sharing across applications.”
MacDailyNews Take: Unparalleled? Puleeze. Somebody grab the shovels.
“Palm’s innovative operating system provides an ideal platform to expand HP’s mobility strategy and create a unique HP experience spanning multiple mobile connected devices,” said Todd Bradley, executive vice president, Personal Systems Group, HP, in the press release. “And, Palm possesses significant IP assets and has a highly skilled team. The smartphone market is large, profitable and rapidly growing, and companies that can provide an integrated device and experience command a higher share. Advances in mobility are offering significant opportunities, and HP intends to be a leader in this market.”
“We’re thrilled by HP’s vote of confidence in Palm’s technological leadership, which delivered Palm webOS and iconic products such as the Palm Pre. HP’s longstanding culture of innovation, scale and global operating resources make it the perfect partner to rapidly accelerate the growth of webOS,” said Jon Rubinstein, chairman and chief executive officer, Palm, in the press release. ”We look forward to working with HP to continue to deliver industry-leading mobile experiences to our customers and business partners.”
MacDailyNews Take: Iconic in regard to shoddy build quality, maybe. For such a skinny guy, Jon sure is full of more than his fair share of shit.
Under the terms of the merger agreement, Palm stockholders will receive $5.70 in cash for each share of Palm common stock that they hold at the closing of the merger. The merger consideration takes into account the updated guidance and other financial information being released by Palm this afternoon. The acquisition is subject to customary closing conditions, including the receipt of domestic and foreign regulatory approvals and the approval of Palm’s stockholders. The transaction is expected to close during HP’s third fiscal quarter ending July 31, 2010.
Palm’s current chairman and CEO, Jon Rubinstein, is expected to remain with the company.
Source: Hewlett-Packard Development Company, L.P.
MacDailyNews Take: Here’s what we wrote over 15 months ago, just after beleaguered Palm unveiled their Palm Pre and webOS: “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
Okay, so who’s salivating over an HP webOS phone and/or slate PC with no ecosystem of which to speak? That’s right, no one who doesn’t look forward to spending at least 24 hours cooped up alone inside the server room. iPaq.
Buh-bye, Palm.
Now, we need another prescient quote to which we can repeatedly refer going forward, so here:
HP’s acquisition of Palm means that not only is HP sick and tired of being stuck with and dependent upon perpetual laggard Microsoft, but, more importantly, yet another smartphone/slate PC OS will live to confuse the market. This will significantly benefit the one company that has repeatedly proven its ability to distinguish itself above all others: Apple. The more confused the marketplace, the faster customers will flock to Apple’s trusted brand and quality products.
Have a nice evening, Microsoft and Google. You, too, RIM and Nokia. 
Here are some fun quotes we’ve iCal’ed over the years:
• 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, November 20, 2006
• Why would we price ‘Pre’ less than iPhone when we have a significantly better product? – Palm CEO Ed Colligan, January 10, 2009
• June 29, 2009 is the two-year anniversary of the first shipment of the iPhone. Not one of those people will still be using an iPhone a month later. – Palm backer Roger McNamee, March 05, 2009
• No comment. – Palm spokesman Derick Mains on the future of the company, March 10, 2010
Palm’s dog and pony show?
OMG!!! Ponies!!1!
In general I think this is a really good move. It keeps Palm’s innovations alive and hopefully HP will allow them to breath a sigh of relief and allow them to continue working on their developments and increase the quality of both HP’s devices as well as Palms. Perhaps we may even see some aspects of WebOS in use on some of HP’s touch PC’s. Why not give the PC user anther choice between Windows and Linux/WebOS?
If it improves general usability I’m all for it.
Me thinks this is HP’s way of getting a software division. I’m more inclined to believe they are feeling the pressure in the PC business, and want to be able to offer vertically integrated products across the board, not just an iPhone or iPad competitor.
For whatever it is worth, which might not be much, I think they want to develop an OS X competitor as well.
Apple had better take this seriously, because even if the iPhone has the better OS and hardware, HP has the relationship and contracts with the corporations that buy computers by the tens of thousands — all chosen by some IT dickhead who thinks that cheaper initial purchase price is all that matters.
1.2 Billion for Palm & WebOS announced by HP on 4/28/10.
HP (HPQ) Stock Price $53.28 at closing and -.35 cents to $52.93 in
After Hours…
Let’s see what happens from here…
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The more I think about this, the more it worries me.
HP now has Palm and BeOS.
HP and corporate environment go hand and hand.
The new HP Tablet (with Palm and BeOS and WebOS) will be preferred by all the IT corporate buyers over the iPad.
@MDN take…Have to give credit where it is due…you made the correct call, and very early on, at that!
Hey….MDN wrote shit and didn’t censor itself. That means I can write shit without being deleted. Everybody now shit, shit, shit, shit,shit, shit, shit, shit, shit,shit, shit, shit, shit, shit,shit, shit, shit, shit, shit,shit, shit, shit, shit, shit,shit, shit, shit, shit, shit,shit, shit, shit, shit, shit,shit, shit, shit, shit, shit,shit, shit, shit, shit, shit,shit, shit, shit, shit, shit,shit?
Hey I meant figuratively not literally…oh SHIT!!!!!!
I’m such a child…..
Yeah well if HP treats this “merger” LOL, like they did the Compaq one then it will be years before things get back to normal for Palm users.
HP has NEVER been the same after they merged with Compaq, or rather, the Compaq Server business has never truly recovered. They constantly miss deadlines on shipping equipment, new servers arrive with bugs that require entire motherboards to be swapped out of BRAND NEW $8000 servers.
This company is totally frelled but unfortunately they are the leper with the most fingers in my book.
Now they started selling servers without the DVD necessary to install Operating Systems and the drivers without manual intervention. If you want it you have to tell them when you order the server. They claim its to help the environment but they ship 10 languages worth of stuff that people throw away 5 minutes after getting the server!!!!
Farewell Palm, it was real, but they will never be the same company again. Maybe HP can do with the Pre what they did with the iPaq.
Ooooh, yeah ouch!
ChrissyOne sez: “So I guess future Slates won’t be running Windows, hmmm…?”
That’s an interesting concept. Here we have competing touch / smartphone operating systems out the ears with Microsoft in damaged reputation mode.
What if there is a mass exodus from Windows to ANYTHING else? This could get fun! I like!
How about a HP 50g calculator with 3G-phone and webOS. I bet there’s a niche there in the mobile market that the others haven’t found yet
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.12 I can understand.
1.2 is a bit much…should’ve waited a week.