Investing to Wealth

Filed under: Good news, Rumors, Sprint Nextel Corp (S), Best Buy (BBY), Palm Inc (PALM)

Best Buy, Inc. (NYSE: BBY) may be the initial retail partner to carry what is turning out to be a the most talked-about wireless handset since the iPhone made its debut over two years ago. The Palm, Inc. (NASDAQ:PALM) Palm Pre, which will initially only be available on the Sprint Nextel Corp. (NYSE: S) network, will benefit immensely from finding the right retail partner to boost sales.

So far, it's too hard to tell how well the Pre will do against the iPhone and other handsets based on Windows Mobile or Android -- but early previews are encouraging. The Pre packs a decent amount of horsepower with one slick design -- and it would be amusing to see it marketed alongside the iPhone at Best Buy. Best Buy was also the first retailer partner to be able and sell the iPhone last September, so scoring the Pre would be another win for the retailer.

Can the Pre save Palm from oblivion? That's hard to imagine, but this single product launch is probably the most important in the history of the company. Without a knockout product that sells like gangbusters, Palm may not have much left in its intellectual or technological arsenal. It's a big gamble, but a gamble, the company must make. Best Buy's large hand in the Pre's upcoming sales will be a huge boon to both Palm and Sprint.

 

Read | Permalink | Email this | Linking Blogs | Comments