Palm Might Be Bought By Huawei

We may earn a commission from links on this page.

Chances are, a little-heard-of company will buy Palm. It's not quite as sexy a story as HTC or Google buying them, but that's often the way. Huawei, who manufactures dongles and cheap Androids, was apparently approached by Palm in February.

According to Reuters, Palm used some investment bankers as a middleman in February for what was called "preliminary discussions" about the Chinese company buying Palm. Figures being thrown around are in the region of $1 billion, though Huawei hasn't confirmed if conversations have—or still are—taking place.

Advertisement

In a statement, Huawei said:

"As a matter of policy, Huawei does not comment on speculation about possible mergers or acquisitions. Huawei is always open to consider opportunities that will further enhance its business development"

Advertisement

Another company said to be interested is ZTE, a similar Chinese company which builds products for telecoms companies.

As Huawei is known for producing gadgets on the cheap, it'd certainly help with reducing Palm's losses, said to be $22 million last quarter. Having said that though—do we really want to see even cheaper-looking hardware on Palm's phones? It may just tarnish their reputation altogether. [Reuters via Mobile Today]