Palm hosted an investor day in New York to discuss their global strategy and announce the forthcoming release of their Linux based operating system. "It is unclear how it will perform as a phone," said Palm CEO Ed Colligan when asked about Apple's entry into the smartphone space.
Brodie Keast, Palm's senior vice president of marketing, said the iPhone would not be as compelling to the business customer who buys Treos, and suggested the iPhone would be "primarily an entertainment device" and "a wide-screen iPod."
Palm's CEO has long questioned whether Apple can develop a decent phone. Prior to the iPhone announcement, Colligan said,"We've learned and struggled for a few years here figuring out how to make a decent phone. PC guys are not going to just figure this out. They're not going to just walk in."
After the announcement Colligan said, "I have great respect for Apple, but it won't be easy to create a good smartphone that will functions on networks worldwide. Nokia, Motorola, and Samsung have worked on this for for 25 years and have only partially succeeded today. Our Palm Treo already has 90% of Apple's iPhone features at a much lower price. By the way, if this is an interview about the iPhone, you should talk with the Apple people instead."
