…there's sizable demand for the product. And there isn't going to be as much demand for a product that doesn't have a lot of applications, he said.
One way Palm and its carrier partners could create interest in the Foleo would be by bundling a Treo, a Foleo, some storage cards and an unlimited data plan, Bhavnani said. At around $799 (£404) or $899 (£455), that might attract some customers who have been sitting on the sidelines of the smartphone scene, and that's an awful lot of people.
The real money, however, comes from the corporate users. Palm fought uphill for many years trying to get the Treo devices inside of corporate IT departments, finally agreeing to run Windows Mobile on the Treo to stimulate interest.
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It's far from clear why corporations would want to give their mobile workers a Foleo, given that it would require the few vital corporate applications that could even be stored on a Foleo to be rewritten for Linux and that the device doesn't work with GoodLink or BlackBerry, Bhavnani said.
Hawkins did not reveal many details about Foleo's specifications. Representatives for Intel, AMD and mobile-processor powerhouse ARM were unable to immediately confirm whether Palm was using one of their products.
The product uses flash memory, but it's not clear how much will be dedicated to system memory versus storage. A Palm representative said specifications would be released this summer closer to when the product would be available.
After the success of the Treo, Palm has been searching for a new hit as it fends off rumours that it might be sold to a larger vendor or a private-equity firm. Given that, it might have made more sense for the company to come up with a new design for the Treo, or software that lets Treos work more closely with existing laptops, rather than striking out on an uncertain path, Kort said.
Palm's faithful — who have stuck by the company through years of languishing development of the Palm OS — appeared underwhelmed at the announcement of Foleo, according to comments on the PalmInfocenter blog.
"This reminds me a bit of the first wave of WinCE-based laptops in the late '90s that touted instant on and fast access to applications. Or it reminds me, you know, of laptops," wrote poster "Nybble" on PalmInfocenter. Negative sentiment outnumbered positive thoughts by a wide margin on the blog.

Jeff Hawkins unveils the Palm Foleo at D5






Talkback
If you really want a cheap email solution so badly, go to eBay and buy an old Dell C400 laptop at 3lbs. w/WinXP for $250 with WiFi. As long as you don't add a bunch of software to it it will boot up extremely fast to help you with email. Add a mobile wireless card and you are set! Why in the hell did Palm waste so much time and money on something that sounds like some executive's brain fart?
With this product, and their other recent product (whose name I can't remember), looks like Palm is a small company that works like a megacorp when it comes to ideas and what makes it to market. This product was designed by executives who are thinking way too hard and are out of touch with the market and what's available to the average person already to solve these problems. There is such a thing as "convenience in excess of what is needed or practical" and Palm keeps hurting itself it seems.
Linux Smartphone = smart
Linux email-only client @ $500 is stupid
As Trump would say, someone needs to be fired...