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News
Issue #2002 - 05 (February 2002)
(Updated Feb. 6, 2002)

TECHNOLOGY

Palm Makes Palm OS Subsidiary Official

After a year of encouraging and cajoling from industry analysts, Palm has made it official that its software division is now a wholly owned subsidiary. The Platform Solutions Group will develop and license Palm’s operating system, working independently from the company’s hardware division.

"We’ve been encouraging them to do this for quite a while," Todd Kort, an analyst with Gartner Dataquest told Wired. "I don’t think it’s too late. There is a conflict of interest within Palm if the two companies aren’t separate."

The number one handset maker has been criticized for selling software to competing vendors such as Handspring and Sony.

According to David Nagel, president and CEO of the Platform Solutions Group, "the formation of the subsidiary will open up new opportunities." It is expected that the extra independence will encourage new licensees to the platform and help expedite the "tweakening" or special requests for features such as multimedia and enhanced wireless connectivity.

Now analysts are wondering whether Palm will follow British mobile computing maker Psion’s move and sell off its software business. In 1998, Psion spun-off its software division into the Symbian venture with backing from Nokia, Motorola, Ericsson and Matsushita.

David Nagel will outline the direction of the new subsidiary at the upcoming PalmSource Conference.

For more information: http://www.palm.com

(Additional source Wired)

Mobileinfo Comments & Advisory:  This division makes sense.

Note: This news release may contain forward-looking statements. Readers should take appropriate caution in developing plans utilizing these products, services and technology architectures.  All trademarks used in this summary are the property of their respective owners.


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