Software or Hardware?

So, another bad quarter for Palm Inc. You can read the numbers on a financial blog somewhere, they were dismal. Yes, the Centro is selling like hot cakes, but with its $99 price tag, it has done nothing for revenue or income and in fact has obviously cannibalised the Treo. On the conference call, there was mention of 2 new Treos coming out, but unless these have a very sexy look to them, this could be another dismal showing. There is some excitement knowing that one of Apples' hardware designers is now on the Palm team, but Palm will lose either way if they do what I believe they will: If they come up with a similar Treo that looks remotely like the 600 or 700 series, no one will be excited; if they come out with a brand new original "cool" Treo, but carrying the same OS 5 operating system, no one will be excited.

With the SDK being released for the iPhone, Palm essentially has 3 months to come up with something dramatic. The iPhone SDK, as I thought it would be, is actually quite amazing, according to a few developers whom I have spoken to. With Epocrates now releasing its software natively on the iPhone, we are seeing the migration to this device. It is only a matter of time, before Dataviz, Mobisystems and others do the same. I am expecting physicians to leave the Palm fold in droves. There is already an online petition being written for physicians to use the iphone as a medical device and requesting that software be written for it, leading to easy migration away from Palm.

I have not yet left! I am still using my Lifedrive, albeit reluctantly due to its lack of speed and its weight. Yes, I was excited about the refurbished iphones being sold by AT&T for $250.00, just slightly above what I would have expected to pay for a new TX. But I am still using a Palm device. Why? Well, it is not as simple as many on Engadget and other tech sites believe, to just drop this device. For a physician who is using critical data files, such as those found in Splashdata, Handbase, Smartlist and other proprietary programs for which there are no substitutes, walking away to another platform is not that simple. For Apple, despite its SDK, it will still take at least 6-12 months for developers to write software that will be of the same complexity as those found on the Palm. There is a plethora of software for the Palm and that is why the demise of this company is so hard to bear.

It is software, NOT HARDWARE, that has been the achilles heel of this company. Its failure to release OS 6.0 or Linux; its failure to offer multitasking or a definite roadmap for its developers has led to this problem that we have now. Without giving up anything (the developer has an NDA), I have seen a few programs on the iPhone that have simply made my jaw drop. Xrays shown in fantastic detail with no blurring with magnification. Why couldn't Palm come up with this? Any attempt to mix graphic visuals with text and wifi will crash your hard drive on a Lifedrive and soft reset the TX.

So, here we go again. Three months to go and we will either see Palm rise like a Phoenix or (and I take this from the great Mike Cane)..... do so poorly that they have to go private. Innovation is a difficult thing to do.


LDD.