Palm shipped 960,000 smartphones in the period, which represents a 23 percent increase from Q2 2010 and a nearly 300 percent increase compared to this quarter in 2009. However, sell-through wasn’t great, with just 408,000 units changing hands — that’s a 29 percent decline from last quarter and a 15 percent drop year-over-year.
Here’s what Palm had to say:
“Our recent underperformance has been very disappointing, but the potential for Palm remains strong. The work we’re doing to improve sales is having an impact, we’re making great progress on future products, and we’re looking forward to upcoming launches with new carrier partners. Most importantly, we have built a unique and highly differentiated platform in webOS, which will provide us with a considerable – and growing – advantage as we move forward.
We had an arrangement with Sprint that when we launched with Sprint that they would invest in marketing and carry the product and for that they would get an exclusive for a period of time. That really determined when we could do our launch at Verizon. I agree with your premise that if we could have launched at Verizon earlier, prior to Droid, that we would have gotten the attention that the Droid got and since I believe that we have a better product, I think we would have even done better.”