Just saw this story linked from our 2nd favorite tech-related Blog, Engadget: PalmSource is introducing their new SmartPhone-centric OS. Some analysts think that PalmSource is fighting an uphill-battle, for example, “Palm faces an uphill battle, said Lars Vestergaard, an analyst at the market research company IDC. ‘Palm missed the train on wireless,’ he said. ‘Its competitive advantage now has to be gained.'” I think this guy is a bit nuts since the most succesful SmartPhone by far is the Treo 600, which runs on Palm.
This will certainly lower the bar for phone makers, as they now won’t have to keep hacking the OS to make it work better as a SmartPhone OS. If done right, I think PalmSource can take a giant chunk out of this market. There are a lot of Palm-loyalists who could pretty easily learn the OS for the new devices (whatever they may look like), and I imagine there will be quite a few low-end devices coming out; since PalmSource is doing more of the work, the prices should be lower. All in all, I think PalmSource will do quite well in the market if they keep the OS simple and keep the platform open.