Palm has seen its share price increase by 20 per cent
even as the company's woes over its inability to peddle its smart phone
However the increase in share price is not a good sign
for the company. It is an indication that many shareholders believe that
the outfit is going to be flogged off any day now. High on the list of potential buyers is the Chinese maker
of old IBM gear Lenovo.
This particular rumour was started by the Dow Jones
Newswires, Lenovo have not said a dickie bird, but Lenovo CEO Yang Yuanqing
told a German newspaper that the company was considering making more
acquisitions to build out its mobile Internet business.
Analysts believe that Palm's only hope to salvage some
value may be through a buyout,however whoever buys it might have their work cut
out given the company's current struggles to sell its handsets. However for a company were trying to break into the US
wireless business, Palm offers the attractive combination of a new mobile
operating platform and relationships with carriers.