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HP Buying Palm For $1.2 Billion

finance.yahoo.com

41–50 of 148 posts

Re: HP Buying Palm For $1.2 Billion

#41
post #25
post #18

Earlier quoted context omitted.

It's funny, even though Apple has resisted messing up the hardware, there is still that "Sent from my iPhone" message which always struck me as having no taste at all. It is different because you can remove it, but still.

I view 'Sent from my BlackBerry / iPhone' as a way of explaining why the email is so short.

Or why it has so many typos.

Re: HP Buying Palm For $1.2 Billion

#43
post #4

UGH poor Palm employees. I am so sorry.

Really? They should be grateful that they look to still have jobs. If Apple or Microsoft or Google bought them, a bunch of them would have been laid off.

HP cut deep when it acquired EDS, from top management all the way down to the trenches. I don't think they will leave much besides (parts of) R&D this time.

Re: HP Buying Palm For $1.2 Billion

#44
post #12

This is very surprising. I'd speculated that Sony or RIM would consider buying them once HTC fell out of favor. Sony seemed to be a good fit from a capacity to deliver a high quality product, plus they have ability, much like Apple, to sell stuff at a premium. RIM seemed less likely but given their need for a new phone OS, it seemed like a pretty easy fit. Corporate culture might have been a factor against them doing…

HP's not the sort of company that can enter a new market like this and turn it on its ear This isn't a new market for HP. They've been a leader in the PocketPC space for years, with their Axim line, and Compaq's Ipaq link (no, Apple didn't invent the "i" thing). I wonder now what's to become of the Ipaqs. I assume that the Windows Mobile based devices will simply be phased out.

The Axim was from Dell, not HP. The iPaq was created by Compaq and taken over by HP in their acquisition.

Re: HP Buying Palm For $1.2 Billion

#45

Wow, that just came out of no where. Did anyone really think of HP as a serious contender? great move! Elevation Partners must be trilled!

It's a save, not a single, but yeah: http://twitter.com/danprimack/status/13026332506

A big save. I think they just wanted their money back :P

Re: HP Buying Palm For $1.2 Billion

#46
HP's getting a hell of a deal here. They're now a major player in the mobile devices market, overnight.

Palm has current relationships with the three biggest American cell carriers, plus channels in Canada, France, Germany, UK, and Mexico. Palm also has an extensive patent portfolio, many of which Apple is infringing upon.

However, the real prize is WebOS. I just got back from Palm's Developer Day, and their technology stack for their next OS version is pretty damn neat. It's a high performance event-driven javascript architecture on the back end, with WebKit on the front, all programmed through a Rails-ish MVC model. As a web developer, it looks shockingly easy to program for.

Of course, if you want to program the phone in raw C/C++ and SDL, you can do that too. It's incredibly flexible.

What Palm has been lacking is cash and time. The WebOS development stack won't be fully built out until Fall, and they haven't had the resources to push new phone models out as quickly as they need. This deal gives Palm much needed juice, and gives HP all the things they need to go head-to-head with Apple.

If HP is smart, they'll start tossing WebOS on tablets as soon as they can. I'd buy an HP slate with WebOS in a heartbeat.

Re: HP Buying Palm For $1.2 Billion

#47

Wow, that just came out of no where. Did anyone really think of HP as a serious contender? great move! Elevation Partners must be trilled!

It's a save, not a single, but yeah: http://twitter.com/danprimack/status/13026332506

Could you (or someone else) please explain what "single" and "save" mean in this context?

Re: HP Buying Palm For $1.2 Billion

#48
According to the press release, Palm shareholders get $5.70/share. The stock is above $5.90/share in after-hours trading. Is there some reason for this? Is this an arbitrage opportunity (assuming you could get shares to borrow)?

Re: HP Buying Palm For $1.2 Billion

#49
post #47

Earlier quoted context omitted.

It's a save, not a single, but yeah: http://twitter.com/danprimack/status/13026332506

Could you (or someone else) please explain what "single" and "save" mean in this context?

Single: 1x return (100% ROI), confusingly 2x back on what was invested. This means a triple is a 300% return, or 4x back what was invested. A home run is a 400% return or better, or 5x back what was invested. Along those lines, Save: money back = money invested

Re: HP Buying Palm For $1.2 Billion

#50
post #38

Wow, amazed that it is worth 1.2 Billion. Not that I dislike Palm, but I suspect for 1 Billion, you could write several WebOS from scratch.

But, they are buying the name and existing customers of Palm. Don't forget that the acquisition will also give HP access to Palm's patent portfolio...This is especially important now that we have seen Android targeted by MS for "patent infringement". If HP/Palm have a good device, a good OS and patents to keep the competition from pushing too hard, then they have a chance.
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