PalmOne Buys Rights to Palm Name for $30 Million

PalmOne Buys Rights to Palm Name for $30 Million

May 24, 2005
1 minute read
eWeek content and product recommendations are editorially independent. We may make money when you click on links to our partners. Learn More

Handheld device maker PalmOne Inc. is paying Palm operating system provider PalmSource Inc. $30 million for the rights to the Palm Inc. moniker.

After the two companies split as Palm Inc. in 2001, each held equal shares in the Palm Trademark Holding Company. PalmOne will now hold a 55 percent stake in the company and will take on the Palm name later this year.

The move comes on the heels of PalmSource CEO David Nagels abrupt resignation earlier this week. PalmSource officials would not comment on why Nagel is leaving the company.

Nagel, 60, will remain at PalmSource in an advisory role until July, while Patrick McVeigh, 53, senior vice president for worldwide licensing, will step up as interim CEO.

PalmOne also said today it would renew its license with PalmSource to use the Palm OS in devices through 2009.

/zimages/2/28571.gifClick hereto read about PalmOnes new 4GB LifeDrive device.

As part of that deal PalmOne will pay PalmSource royalties of at least $148.5 million, provided that PalmSource meets “certain development milestones.” Neither company, however, clarified what those milestones are.

Some insiders predict PalmOne is planning to offer a device based on Microsoft Corps Windows Mobile software. PalmOne has not commented on its future plans but has said it continually evaluates other operating systems.

/zimages/2/28571.gifCheck out eWEEK.coms for the latest news, reviews and analysis on mobile and wireless computing.

eWeek Logo

eWeek has the latest technology news and analysis, buying guides, and product reviews for IT professionals and technology buyers. The site's focus is on innovative solutions and covering in-depth technical content. eWeek stays on the cutting edge of technology news and IT trends through interviews and expert analysis. Gain insight from top innovators and thought leaders in the fields of IT, business, enterprise software, startups, and more.

Property of TechnologyAdvice. © 2026 TechnologyAdvice. All Rights Reserved

Advertiser Disclosure: Some of the products that appear on this site are from companies from which TechnologyAdvice receives compensation. This compensation may impact how and where products appear on this site including, for example, the order in which they appear. TechnologyAdvice does not include all companies or all types of products available in the marketplace.