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Palm losing streak reaches 7 consecutive quarters

Palm losing streak reaches 7 consecutive quarters
For the seventh consecutive quarter, Palm reported a loss. The third quarter of the fiscal 2009 saw the company report $95 million of red ink which works out to 89 cents a share, up from a loss of $54.7 million dollars or 53 cents a year earlier. Part of the problem is that buying of Palm products has dried up in anticipation of the launch of the Palm Pre. Since the smartphone was introduced at the CES in January, it has garnered the largest pre-release buzz for a cellphone since the original iPhone. As a result, customers have been waiting for the device to hit the stores and have slowed down their purchases of Palm devices dramatically despite the introduction and release of the Palm Treo Pro, a Windows Mobile smartphone loaded with features and with pretty design. The quarter might have been better if not for the saga of the Treo Pro. The handset was expected to hit Sprint stores in late January, and then by mid February in time to have some impact on the quarter. But delays kept pushing back the release of the phone and by the end of the period, only Canadian carrier Bell had released the device in North America. The Pre is considered the last chance for Palm to become relevant again after nearly disappearing from the cellular scene. Earlier this month, we reported how the carrier was able to raise cash and pay off a debt to Elevation Partners by exercising an option to sell 18.5 million of their shares held by Elevation for $105 million dollars. After repaying $49 in debt to Roger McNamee's firm, the balance went to Palm to improve liquidity. After all, marketing a high profile device like the Pre is going to take plenty of money. And Palm isn't the only firm with much on the line here. Networker Sprint is supposed to have the exclusive U.S. rights to sell the Pre for the rest of the year. Will Palm continue to post losses every quarter, or will the Pre help the company post black ink? We're not sure what the record for consecutive losing quarters is, but we are sure that is not a record that Palm wants to own.

Palm Treo Pro Specifications (CDMA) | Review
Palm Pre Preliminary Specifications | Hands-on

source: N.Y.Times

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20 Comments

1. heavybreathing

Posts: 276; Member since: Feb 26, 2009

This is Palms own doing. They went from a nice phone company to cloning blackberry and putting out the same phone over and over and over again. The pre will fail horribly...say goodbye to this dying company.

2. insider80

Posts: 93; Member since: Jan 26, 2009

your an idiot

3. idiotwind13

Posts: 80; Member since: Dec 29, 2008

Quite. Apparently you have not seen the demo videos for the Pre. It makes the iPhone look like a toy, that phone is going to kill.

4. E.N.

Posts: 2610; Member since: Jan 25, 2009

Yeah, how many times have we heard that before. "The Blackberry Storm is the ultimate iphone killer." Didn't the instinct also beat the iphone? Oh yeah,and CNET said the Voyager was better than the iPhone. The G1 was supposedly defeat the iphone too. Who knows though, this phone probably can kill, but the way things have been happening phone after phone after phone, I kind of doubt it. But I still can be wrong, so. . . . we'll just wait until Q2.

5. heavybreathing

Posts: 276; Member since: Feb 26, 2009

*you're an idiot

6. insider80

Posts: 93; Member since: Jan 26, 2009

actually the instinct did beat the iphone at CTIA award show last year

9. *HOVA*

Posts: 564; Member since: Dec 11, 2008

Well even if it did look how popular it ISN'T now...

10. heavybreathing

Posts: 276; Member since: Feb 26, 2009

YOUR MOUTH IS A VAGINA AND I WILL FUCK IT.

11. att_agent

Posts: 96; Member since: Feb 26, 2009

YOUR ANUS IS A GAPING HOLE THAT CONSUMES THE MASSIVE COCK OF THE WORLD (THE GOVERMENT OR SO CALLED OBAMA) FUCK YOU WHOOOOOORE!!!!!!!!!!!!!!!!!!!!!!!!!!

12. heavybreathing

Posts: 276; Member since: Feb 26, 2009

THAT'S BECAUSE YOU PUT ROOFIES IN MY DRINK YOU ASSHOLE. I'M NEVER GOING DRINKING WITH YOU AGAIN.

13. att_agent

Posts: 96; Member since: Feb 26, 2009

I RAPED YOUUUUUUUUUUUUUUUUUUUUUUUUUUU!

16. E.N.

Posts: 2610; Member since: Jan 25, 2009

So why isn't the palm pre trying to beat the instinct instead of the iPhone?

18. Legion

Posts: 397; Member since: Dec 12, 2008

No sir, you are the idiot

19. insider80

Posts: 93; Member since: Jan 26, 2009

what are you talking about sprint sells more instincts than any other phone

20. insider80

Posts: 93; Member since: Jan 26, 2009

who said the pre is trying to beat the iphone the iphone isnt even in the same category as a pre! the iphone is a toy. and in anyones eyes that actually know what there talking about the iphone is nothing special. the thousands of kids that think its cool to have an expoensive toy think its great but thats about it

7. att_agent

Posts: 96; Member since: Feb 26, 2009

OMFG i have had 2 700p's and 2 800w's are the phone arew shit oh guess what we will introduce the palm preo ooooo the same fuckin thing as before branch the fuck out im mean jesus at least they are copying the iphone and slider shit instead of coming out with something new they mimicked the same shit i mean c'mon sounds like the fall of palm will help the cell phone idustry by removed another pile of dog shit (palm) shiiiiiiit

14. idiotwind13

Posts: 80; Member since: Dec 29, 2008

First of all whatever you are trying to say is pretty well incoherent, but you have to look at the Pre objectively. Iphone killer is overused, I never said it was going to kill the Iphone, that phone will always have its niche. The other phones that were supposed Iphone competitors really didnt do anything revolutionary, this does. Watch the demo videos, webOS represents a completely different way of managing information, as well as some really great ideas with respect to the interface. They thought everything through so well, it dropped my jaw, and I have been in the wireless industry for a while. I work for a competitor of Sprint's, and I have no love for any Palm product that has been released in the last five years, but that phone is a game changer, and I didn't say that about the Storm, Voyager, Instinct, or any other phone in the last 2 years. I would bet money it will be big, and apparently a lot of investors agree.

17. E.N.

Posts: 2610; Member since: Jan 25, 2009

Maybe you're right, but I guess it helped that an ex-apple worker is one of the design leaders for the pre.

15. ddripp

Posts: 63; Member since: Dec 11, 2008

AMEN! every phone maker want to be an iphone killer, they all failed so far that's exactly why makes APPLE bigger than it already is... they known for computers and ipods, look how much buzz they creating with their 1st phone. 5 years from now if it's continue the way it is, they gonna take over completely.

22. stuntz

Posts: 178; Member since: Dec 19, 2008

^ wtf is wrong with you?

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