Palm Stock Rises With Talk of Lenovo Taking Over

Apr 7, 2010
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So, Palm's not doing too well. At least, that's what the numbers are telling us. And if you're the type of person that likes to assume, then we can assume until the cows come home why this is happening. It will usually (for most of us) boil down to the fact that their two webOS handsets aren't the best handsets to show off Palm's excellent mobile Operating System. While the Pre did great for its release, the Pixi fell under the Pre's shadow, and since then, there hasn't even been the faintest of mentions (from the company, officially) of any new hardware coming out any time soon. It looks like Palm stock has taken a turn (for the better?) on Wednesday, thanks to some hedge fund investors.

What's all the hub-bub about? According to the reports from these hedge fund investors, it's looking like Lenovo may be in a place to take over the dwindling phone manufacturer. These are strictly rumors, which isn't a surprise in of itself, but it's surprising to see these rumors actually stimulating Palm's stock. With the lowered price of the stocks, it's a perfect place for companies to come in and purchase the company on a whole, but in the most recent of events, it's actually increasing Palm's stock value. Making the whole thing probably look very good to companies that may want to buy Palm.

But the rumors are missing one huge part of the whole ordeal: what would Lenovo do with their new Palm organization? Would they take the company's know-how in the mobile market to expand on its own intentions? Or would Lenovo actually use webOS, and let those who created the mobile Operating System continue to make it better? There's a lot of questions to be asked, most of which probably concentrates around the possibility of this rumor actually coming true or not. We'll just have to wait and see.

[via CNBC]


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