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Palm drops Windows Mobile to Focus on webOS

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You make an exciting product that everyone wants to buy and you make bundles of money, right? Not quite...

Palm has announced its fiscal Q1 2010 results and it doesn't make for good reading. Net loss was $164.5 million compared to $39.5m over the same period last year (when it was already struggling greatly). Furthermore, despite the launch of the Palm Pre, total shipments were actually down a huge 30 per cent year on year to 823,000 units and revenues fell 82 per cent to $68m from $270m.
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On the plus side, these results are ahead of Wall Street expectations so shares responded well and revenues for the next two quarters are predicted to surge to $240m then $270m as webOS based Pre and Pixi sales take off.

Speaking of which, webOS is a mighty tasty platform and it was only a matter of time before Palm committed to it fully. Consequently, the company used the announcement of its financial results to confirm it will be dropping Windows Mobile from all future smartphone models. The Palm Centro (the last Palm OS phone) has also been withdrawn from the market in the US and is expected to disappear in Europe when the Pre eventually launches.

So right now the sums may look gloomy, but there's clearly a brighter future on the horizon for Palm and it's one that starts without Windows Mobile. Add your own punch line...

Link:
Press Release

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