HP just announced that it will acquire Palm for US$1.2 billion.
“Palm’s innovative operating system provides an ideal platform to expand HP’s mobility strategy and create a unique HP experience spanning multiple mobile connected devices,” said Todd Bradley, executive vice president, Personal Systems Group, HP. “And, Palm possesses significant IP assets and has a highly skilled team. The smartphone market is large, profitable and rapidly growing, and companies that can provide an integrated device and experience command a higher share. Advances in mobility are offering significant opportunities, and HP intends to be a leader in this market.”
Jon Rubinstein, Palm’s CEO, is expected to remain with the company after the acquisition.
The transaction is expected to close during HP’s third fiscal quarter ending July 31, 2010.