CES 2010: VZW, AT&T give Palm another lifeline

Both Verizon Wireless and AT&T will give Palm another chance at staying relevant in a changing market, with Verizon today confirming it will offer the Pre Plus and Pixi Plus smartphones starting later this month.

AT&T will also sell Palm phones in its stores later this year, but exact dates and other information weren't disclosed.

The Pixi Plus is very similar to the original Pixi, but it includes several new colors, additional memory and now includes Wi-Fi.  Unlike the original Pre, the Pre Plus doesn't include a trackball interface, which some users complained about in the past.

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Palm has continually lost marketshare to Apple, RIM, and several other prominent smartphone makers, as consumers flock to smartphones.  The Pre and Pixi were exclusive to the Sprint-Nextel wireless provider, but Sprint itself has had an extremely difficult time convincing subscribers to stay.

Realistic demand for the Pre has cooled down over the past two quarters, but Palm is ready to heavily invest in marketing the Pre Plus and Pixi Plus for VZW and AT&T.  Analysts revealed Verizon's interest in Palm phones in late 2009, but it was unknown when the provider would begin offering Palm devices.

Both devices offer an interesting, less expensive alternative for first-time smartphone owners who don't want to shell out the big bucks for higher-end BlackBerrys or the iPhone. The WebOS that powers the Palm smartphones has received very good reviews.

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