The HP and Palm Saga Continues

During a recent announcement, HP’s CEO Mark Hurd publicized that their purchase of the dying Palm Company will help expand HP into other types of products and software. Some sources initially speculated that the acquisition indicated HP’s interest in Palm’s smartphone products “in order to enhance our intellectual property in the fast growing and profitable connected mobility space.” Apparently the company is interested in more than just their line of smartphones. This is confirmed by Hurd’s statement declaring, “[The proposed deal] isn’t precisely a smartphone play, as I’ve seen some people write…It is, for us, strategically broader.”

With the news of the Palm purchase, it became clearer that Hewlett Packard intends to produce its own tablet PC. Hewlett-Packard is quoted to have paid $1.2 billion to purchase Palm, with the target being Palm Inc.’s WebOS.  In developing the WebOS, Hewlett-Packard has a good product to use with their tablet PC known as the Slate. According to Hurd, “After closing the acquisition we expect to leverage WebOS in the apps store beyond smartphones… such as slates and web connected printers.”

The Slate is HP’s own tablet PC presently under development. Initially, rumors had been flying that the Slate would be running on the operating system Windows 7 by Microsoft. It was the company’s bid to challenging the iPad from Apple. Although the WebOS is currently being pushed to be the operating system for the Slate, HP has not completely forgotten about Microsoft

“Microsoft is probably one of the best relationships we’ve got in our company, and they’re still extremely important to us.” Hurd adds,  “There are a couple of form factors, though, that are very attractive for us, and these small form factors are where we think the IP can be very additive.” Hopefully, the collaboration between the companies will produce something more and different from the iPad. Targeted for release sometime in October, it will be interesting to see how the market will react to the Slate.

Tags: , , , ,