Thursday, June 04, 2009

Apple will buy Palm

Will Apple buy Palm? Probably not ;-) but let me explain why it could make sense.

It seems that Palm is doing everything they can to piss off Apple these days. Not only they have multitouch, they are "copying" features from the iPhone and they are launching their phone two days before Apple WWDC.

Moreover, they recently announced support for iTunes. The only way to do it is to have access to the protocol the iPhone uses to talk to iTunes. To make the Palm Pre look like an iPhone... Reverse-engineering it is probably illegal, although you can always go with the story of "Clean Room Design". Clean like a pig in the mud, considering how many former Apple employees Palm has, starting with Jon Rubinstein (the guy who built the iPod for Steve Jobs).

You would guess Palm is looking for a lawsuit. Apple should have sued them already. But they haven't. Strange. Unless Palm has legal access to the API, which makes sense only if there are ties between the two companies that go beyond a partnership...

Clearly, the Palm Pre is ahead of what Apple has, starting with multitasking (not an easy one). I know, the new iPhone will catch up a bit, but it will still be behind. And when Palm will launch the EOS (a cheaper Pre), it will be trouble for Apple and its iPhone pricing.

The DNA of Palm is the DNA of Apple. They share it. Putting together the two teams would be easy. And the two offices are in the same area.

Lastly, it will be quite convenient for Apple to get rid of the only real competitor they have in the space. It is cheap, brings technology and innovation, it is easy to swallow.

Aren't you wondering why Apple has not sued Palm yet? I am... Maybe they are threatening a lawsuit while they negotiate a price for an acquisition (and what if this is what Elevation was targeting from day one?)

What if Monday at WWDC Steve Jobs gets on stage and shows a Palm? That would be fun :-)) Or it might happen later, after Apple actually sues Palm, lowers their price a bit and then buys them.

Bottom line, it sounds crazy, but it might not be.