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Palm cuts down manpower, resents itself just a little bit

It isn’t new news that the worsening economy has resulted in layoffs and it now looks like Palm will be falling victim to the increasingly declining consumer product environment. In an effort to keep afloat, Palm Infocenter says the the giant smartphone and software company will be letting go of a chunk of its workforce. While the number of employees it intends to let go has yet to be disclosed, it would appear that it would have to be a substantial number in order to make an impact. The cuts won’t be limited to the US either, as there are plans to do the same internationally. This isn’t good news as Palm puts it:

“The global economic downturn continues to dampen demand for consumer goods around the world, and the impact on the economic environment is worsened by our maturing Centro line and the length of time it is taking to ramp our new Windows Mobile products.”

It would appear as though Palm has adopted a “would’ve, could’ve, should’ve” mentality in terms of getting new products out and revamping some of its smartphones. In addition, the much-hyped Treo Pro has done little to save Palm. Things aren’t looking good for the telecommunications and electronics industries as Palm joins a long line of companies who have been letting go of employees.

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9 comment(s) for this post.

  1. On Nov 22, 2008 @ 5:12 pm, someguy Said:

    a friend of mine works for Palm said they let the entire Sales Team go yesterday…hmmm lets see here, no carrier deals and now no sales force….Great idea palm, im sure this tactic will save the company

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  2. On Nov 22, 2008 @ 6:26 pm, conrad Said:

    @ nickyhilton

    So. I got the Bold and I love it. But while the browser is much better than the previous iterations, it still blows. Freezes up far too often.

    Opera mini 4.2 is *very* fast and not at all buggy, but it’s crude and clunky. And no cut and paste, wtf??

    Are there any other browser options out there??

    TIA.

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  3. On Nov 22, 2008 @ 6:52 pm, Grundel Said:

    If this company wants to get going in the short-run, they really need to negotiate with Verizon and AT&T to get carrier-subsidized Treo Pros on store shelves soon. Then again, the features of the Treo Pro pale in comparison to some of the other smart-phones on AT&T - so it might be a tough sell.

    It helps that Sprint is picking it up early next year but they’re bleeding customers themselves.

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  4. On Nov 22, 2008 @ 7:39 pm, brum Said:

    It would be a big loss to lose a company on one of the biggest revival ventures in history. I just hope the recruitment of Rubenstein and Bell plus the cash injection from Elevation Partners to achieve this turn around doesn’t go to waste, it really could become something significant.

    Here’s to hoping with the new OS.

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  5. On Nov 22, 2008 @ 11:06 pm, MadMike Said:

    Palm is still in business? Haven’t they been on deathwatch for like, forever?

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  6. On Nov 23, 2008 @ 6:36 am, Gauntlet Down Said:

    “Being on deathwatch” sort of suggests something is dying, not already dead, no?

    We’re witnessing it.

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  7. On Nov 23, 2008 @ 10:33 am, MadMike Said:

    Well, they aren’t in liquidation. They are still operating as a company.

    They may be on a breather, in a permanent vegetative state with a flesh eating disease that is slowly digesting their own body.

    But, I wouldn’t call them dead, just yet. ;-)

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  8. On Nov 23, 2008 @ 3:52 pm, Randy Said:

    Palm has been on the Deathwatch since ‘07. If they’ve gotten rid of the sales team, then they aren’t going to last much longer.

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  9. On Nov 24, 2008 @ 12:19 am, thegeniusfiles Said:

    Palm needs to let go of its senior management esp Ed Colligan. Until that happens, no amount of layoffs will help. Will it happen? I don’t even care anymore. Palm no longer does anything interesting. Palm is irrelevant.

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