HP buys Palm for $1.2 Billion

In an unexpected announcement today, HP revealed that they have come to an agreement to acquire Palm for about $1.2PHP 70INR 102EUR 1CNY 9 billion.

It has been rumored that Palm is being put on sale for several weeks now and that HTC or Lenovo is looking into a deal. HP coming in and scooping up Palm is a surprise but it’ a move that made some sense.

hp-palm

HP and Palm made this joint release today:

HP and Palm, Inc. (NASDAQ: PALM) today announced that they have entered into a definitive agreement under which HP will purchase Palm, a provider of smartphones powered by the Palm webOS mobile operating system, at a price of $5.70PHP 335INR 483EUR 5CNY 41 per share of Palm common stock in cash or an enterprise value of approximately $1.2PHP 70INR 102EUR 1CNY 9 billion. The transaction has been approved by the HP and Palm boards of directors

Palm’s last ditch effort to survive the competitive smartphone market did not panned out well, a market it once dominated. Palm’s flagship handset, the Pre, and its completely new mobile operating system, WebOS, temporarily took the headlines but failed to sustain the excitement and momentum.

On the other hand, HP’s also been doing the iPaq smartphone for some time already but has not really made any developments in the mobile space for awhile and making an impression its giving up in that department. Acquiring Palm surely changes that perception.

Abe Olandres

Abe is the founder and Editor-in-Chief of YugaTech with over 20 years of experience in the technology industry. He is one of the pioneers of blogging in the country and considered by many as the Father of Tech Blogging in the Philippines. He is also a technology consultant, a tech columnist with several national publications, resource speaker and mentor/advisor to several start-up companies.

https://www.yugatech.com

10 Comments

Teknisyan says:

15 years ago

This made more sense than HTC and Lenovo.. since HP has the money and marketing power to revive the Palm Line.
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iphonedevpinoy says:

15 years ago

nice for consumers as hp competing with the revitalized palm lineup will keep apple on its toes.
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Lexty says:

15 years ago

I wish it was Sony…or HTC.
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Spidey says:

15 years ago

After buyiing 3COM, now Palm..

What’s next?

Go HP!
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Jon says:

15 years ago

HTC!! You should have bought Palm! Oh well, I just wish this isn’t the end of Palm’s WebOS. In some aspects, it is better than Android. It’s lack of developers and market share made it a less favorable platform. Good luck to HP.
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laurence says:

15 years ago

joining forces to kick the ipad on the spotlight…
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lolipown says:

15 years ago

looks like HP wants to revive it’s ipaq line.
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Ryan Ang says:

15 years ago

HTC might be just happy being an OEM supplier and churning their own units in the process. HP on the other hand is a little aggressive in acquiring ailing firms that can do justice by providing them little push. I must say it did good in acquiring Compaq and in a small way Voodoo.

We’ll now see more of webOS getting implemented to more devices, like on a slate device perhaps? :P
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markmarcelo0210 says:

15 years ago

this is good news. with Palm’s mobile phone capabilities, HP can compete Apple’s iPhone. I have been waiting for the day that Apple will fall apart.
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Jinoe says:

15 years ago

I am a fan of Palm. Sounds like a great deal and the market is very competitive with a lot of exciting developments.
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