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Palm To Focus On WebOS At Windows Mobile Expense

9/18/2009 02:26:31 PM Eastern

Sunnyvale, Calif. - Palm will concentrate its future development efforts on WebOS-based PDA phones and will no longer develop phones based on the Windows Mobile OS, president/CEO Jonathan Rubinstein said.

During a conference call with analysts yesterday, Rubinstein said future engineering efforts will focus on the WebOS operating system, created by Palm and appearing in the Palm Pre and Pixie. The company wants to focus on WebOS to control the customer experience from operating system to services, he explained.

The announcement coincided with the release of first-quarter 2010 results for the quarter ending Aug. 28. During the quarter, Palm sales fell to $68 million, from $86.7 million in the previous quarter, and losses grew sequentially to $161.1 million from $91.5 million, and from $39.5 million during the year-ago quarter. The company also said it shipped 823,000 PDA phones during the quarter, up 134 percent from the previous quarter but down 30 percent from the year-ago quarter.

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