With the Smartphone market expected to rise not by less than 30% this year the acquisition of Palm by Hewlett-Packard may act as a turnaround for palm. After being unable to counter rivalry from Acer and other firms like dell palm may be rescued by this acquisition. HP is probably planning to retain some of the cutting edge devices developed by palm in order to try and compete for a bigger market share dominated by iPhone.
The advantage that palm has is that its webOS platform is unparalled. It allows for real life multitasking and is also very efficient in sharing information. 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 According to top executives of Hewlett-Packard the palm company did possess important Internet protocol assets. In addition they also noted that it had a highly skilled team that would help in distribution of the right quantities of products to different regions of the globe.