Silicon Alley Insider is reporting that their sources claim Apple was very interested in acquiring Palm, for it’s intellectual property, but of course, was outbid by HP. Curiously, though, the source claims that Apple had intended to keep business intact, possibly to challenge RIM in the “hardware keyboard” segment of the market. Apple was mostly […]
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Apple Reportedly Bid on Palm, But Was Beaten Out By HP

Silicon Alley Insider is reporting that their sources claim Apple was very interested in acquiring Palm, for it’s intellectual property, but of course, was outbid by HP.

Curiously, though, the source claims that Apple had intended to keep business intact, possibly to challenge RIM in the “hardware keyboard” segment of the market.

Apple was mostly interested in Palm’s huge library of intellectual property and patents. And unlike some other bidders, Apple even seemed committed to funding Palm’s operations, perhaps to challenge RIM’s dominance in the keyboarded segment of the smartphone industry, our source says. (There’s a bunch of problems with this idea, such as the idea of Apple supporting two rival app platforms, but that’s what this person says.) Ultimately, Apple didn’t bid high enough, while HP offered an amount the board couldn’t say no to. (Recall that Steve Jobs tried to buy Palm years ago in its first life, too, when it was owned by 3Com.)

The source also claims that Google was interested in buying Palm only because they believed Apple was interested in buying Palm. Really. Research in Motion (RIM) initially had the deal in hand, but was outbid by HP.

Two things strike me as fishy. First, there is now way in hell Apple was going to leave Palm’s business intact. Apple would have dismantled the company and injected the newly purchased property into their own mobile products. Secondly, the little factoid about Google’s interest in the company because Apple was interested, just seems like a planted line to incite further tension between the two companies. For what purpose, I don’t know.

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