Palm Wars Episode V: The Analysts Strike Back. Not long after throwing Palm’s stock into the clearance bin, Morgan Joseph analyst Ilya Grozovsky has penned another research note on Palm.
This time he’s claiming that the unannounced non-slider Eos/Pixie webOS smartphone has been delayed from its unannounced 2009 holiday season to next year. Grozovsky stated that Palm will need to put all its muscle behind the Eos if it hopes to compete against the $99 iPhone 3G currently on AT&T (the Eos is rumored to be landing on AT&T - and Sprint - at $99).
No sources, even of the completely anonymous variety, were cited, leading us to advise that this is to be taken with considerable sodium chloride. Note also the scare quotes about "delayed" in the title - it's hard to call something 'delayed' when we know so little about what the original plans for it were in the first place.
Ok, one anonymous tip we received earlier in the month was that prototype units of the Eos on Sprint had at least made their way out of Palm HQ -- so the thing probably exists out there in Sprintland.
Comments
Should, "Palm delaying EOS" be replaced with "Our initial guess was wrong?" Gotta love these second guessing analysts.
I agree, the analyst who guessed before christmas couldnt be wrong.
I would love to have been an "analyst"... apparently it involves just a little more than a kindergarten education. Would have saved me years of school loans.
Its like being a weatherman. You can be wrong many many times and still bring in good money. Wow, my job sucks.
Or a fortune teller.
If you ask me, all these so called "analysis" are exactly what's ruining our financial system with their stupid and baseless speculations. I could never understand why anybody with a half brain would even waste their hard earned money on these bozooes’ predictions of the future. They are no different than the 800-Psychic fortune tellers that were popular in the late 90's.
I guess those less-than-half-brains must include Palm shareholders because they couldn't be buying Palm shares based on what Palm has earned. Somewhere along the way those Palm shareholders read analyst reports that said that Palm could sell XXX many units and decided to speculate.
Nobody buys stock on historic fundamentals any more. The fact that Palm has a new product and a new platform makes it worth considerably more than the $1.14 it was a few months ago. If you wait until the earnings show up, you'll be seeing a premium you'll not be willing to pay. The last place I'd get advice is a broker analyst. Their job is to make shares change hands, up or down. Brokers don't make money on accurate analysts, only on getting people to change perceptions on a stock's worth.
I'm buying Palm shares
I find pretty funny that people truly believes that the 3G costs $99, because the Pre (which is $199 after rebate) is still cheaper than the 3G.
People is too stupid, god.
im pretty sure they were referring to the low end 8gb 3g, which is, or will be offered for only $99
I'm also assuming that "People is too stupid, god." was a bit of dry humor, because if you really meant that.. im laughing my ass off!
His point is Palm shouldn't even have to try and compete with the iPhone 3G's price point, since the monthly rates with AT&T are so much more expensive even if you compare the "cheap" 3G and "more expensive" Palm Pre. Do the math, even with average plans...
iPhone 3G: $99
900 minutes, unlimited messaging and data: $110 monthly
iPhone TeleNav app: $10
GPS Navigation: $10 monthly
Palm Pre: $199
900 minutes, unlimited messaging and data: $90 monthly
Palm Pre Telenav app: INCLUDED
GPS Navigation: INCLUDED
After two years, morons running around with an iPhone 3G have spent $630 MORE. He was right. People is stupid, indeed. ;) And we wonder why we're in a recession...
Except most people are way too dumb to realize that :/ You tell someone they can pay less money up front, but pay more in the long run, and most are too shortsighted to think of the long run. They will take cheap up front over significantly cheaper over two years.
Saving 100 now is better than 630 over the long run
From my "touch tests" of the Pre, my iPhone hardware will still be functioning long after an initial Pre. I honestly felt that the iPhone was much more solid in feel and function. Based on this I went with the iPhone 3GS.
I do think the iPhone/AT&T plans are costly, but that's a price I'm willing to pay for the iPhone and for solid wireless service. AT&T's coverage in my city is far superior to Sprint's. The phone plan cost/coverage decision will probably be geographic, based on network abilities.
From my "touch tests" of the Pre, my iPhone hardware will still be functioning long after an initial Pre. I honestly felt that the iPhone was much more solid in feel and function. Based on this I went with the iPhone 3GS.
I can understand why you would do that, but I'm still not sure it makes practical sense.
Here's the thing: Your phone contract is two years, correct? That means your phone only has to last two years. If it holds up that long, it's still worth it.
On the other hand, if it doesn't hold up that long, there are two ways it could go:
1) You didn't buy insurance on it. Pay full price. You're boned ($300).
2) You bought insurance. You pay $7/mo., and $100 to replace the Pre. Under the worst-case scenario (you break your Pre after 23 months) you pay $262 vs. $300.
Under two of those 3 scenarios, You're paying less than $200 to replace the Pre (even if it's due to damage or abuse). So even if the Pre isfeel better to you, but that's a very subjective judgment, when you get right down to it.
I find it humorous that you refer to an iPhone with 8gb of storage as "low end" when that's the only amount of storage available for the Pre.
Why? It's factually accurate. The 8GB iPhone is Apple's low-end option. Admittedly, it's a little sad that 8GB is Palm's high-end option, but it is what it is...
Personally I hope it's release has been delayed because they've gone back to the drawing board for some design tweaks.
There's something very cheap looking about it's build and there are some obvious design cue's from the pre that aren't present which is a shame.
The centre button is massive compared to the Pre which surely reduces the screens size and the screen doesn't blend with the phone as the Pre does.
If the front was made from tempered glass I'd be fully on-board.
Critics seem to be hard on Palm so caution is the best approach they can take, but I think with that in mind each step they take should generally show signs of being well considered.
Looks like we have some people that are interested in the Palm Pre but are afraid to admit it. Envy at work. The amount of storage is not really the issue. The Palm Pre is a connected device where the iPhone is not. Instead of downloading, you can access the media ordata you want with apps such as Orb.com, Google, etc from the web. Why waste time downloading when you have virtual access to all your preferred media - audio, video, photos - and docs without ever having to download. If ones Palm Pre gets lost or stolen the media and docs do not get lost or stolen also. How often, for those that download, have you wanted a media or doc item that was not downloaded. With Orb.com and other such services, you do not have to worry, just access it on the web. The Palm Pre is a device that gives the user virtually unlimited access to media and data. As more web apps are deployed, you will continue to see the real power of Palm Pre. And it also makes phone calls. Have awesome day.
The analysts have no clue about whats happening in Palm. If engadget and other folks havent heard a thing about delayed EOS or of any plans of EOS... how the hell did an analyst hear this. I think he is just trying to make money by spreading things that he knows nothing about. 'EOS... delayed'.... I say bullshit.
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