So What Does LG know that the rest of us don’t?

Remember Palm and their operating system WebOS?

It was bought by HP in 2011 for $1.2bn. At the time HP gave it 100% backing, but much like the football Chairman who gets the backs his manager during a bad losing streak, they have decide to change. HP did launch products such as their TouchPad which ran on WebOS, but the result was poor sales.

Palm developed WebOS to run smartphones, Tablets and mobile devices but was swept aside by Apple IOS, Google’s Android and even fell far short of players such as Blackberry.

HP will retain the underlying WebOS patents and technology but will handover the source code, documentation, would be used to power its next-generation smart TV technology. The big question now is whether WebOS will fair any better against the same competitors in the emerging smart TV battleground? Will an Android dominance lead to manufactures want to create their own look and feel, or like Microsoft is doing with Windows 8 will they merely jump ship to the perceived next best thing?

To demonstrate what HP actual thinks they have just launched their first Android-powered HP Slate 7 tablet, at the 2013 Mobile World Congress.

HP is not thought to have recouped the money it paid for Palm for WebOS..

HP Buys Palm

We wrote recently that Palm was wobbling and that we saw little for it in the current mobile market. We blinked and in stepped Hewlett-Packard to put a relative massive $1.2bn on the table to acquire them.

Are we seeing the next change within the mobile market with just a handful of companies aiming control their market offer very closely such as Apple and the games industry players? On the other hand will we continue to see the separation of the platform and the hardware such as Google’s Android with Samsung, HTC, LG etc.

If HP now sees mobile market becoming a set of competing ‘worlds’ (Apple, RIM, Nokia) all of which own their operating platform, devices and ecosystems, then buying Palm makes sense. However if that is the logic some would suggest it’s a big gamble. After all WebOS isn’t exactly burning up the market and there is still the question of the apps store.

Is HP looking to Palm to help secure the competitive position against Apple? It has the cash to make a splash and raise awareness. It has the infrastructure to channel a range of devices. It may see that it has to compete in the emerging mobile media space before Apple and Google steal it. Does this mean that HP may be starting to move away from Mircosoft platforms?

Palm may offer HP the platform, but at a heavy price.

Reading Palms

Is Palm going to make the transition from past player to serious iPhone competitor? Its financial figures would indicate that it is improving its performance ahead of Wall Street expectations but will the Pre save it or prove yet another tombstone in the smartphone wars? Predictions had varied, with most expecting losses of around $35m, revenues of $297m and around 500,000 units sold. The results after one time losses delivered a loss of $13.6, revenues of $360m and units sales of 800,000.However, despite the next quarter being Christmas and European launch of the Pre , the company expects sales to as low as $240m.

Palm has a strong track record of delivering pioneering products such as the Palm Pilot, Treo handset and the Palm Pre but the market is now fiercer than even and the brand is no longer a leader. Palm must capture not just the device technology market but also the app space, the operating systems and the carriers. Aligning itself with O2 in the UK may be seen by many as not a smart move as it has pitched and exclusive tent alongside the iPhone which is either a stroke of genius or as we fear one of madness.

Last week Palm cut the price of the Pre and announced the launch of the Palm Pixi, its second device powered by its new webOS, again some may say not an act of confidence or a wise move unless it delivers the appropriate lift in volume.

Palm RIP?

Remember Palm that handheld manufacturer and one of the first to offer an ebook reader?

Palm, which has a worldwide staff of 1,150 has announced that it is lay off around 10% of its staff. Palm has struggled against stiffening competition on all front over the past year. Palm warned last week that it now expects to post a second-quarter loss and revenue is expected to some $20million below expectations.

Interesting, one has to look hard to find even a mention of an ebook reading capability and they obviously aren’t going to be a big player in the ebook world which shows the fickleness of the market.