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Palm's preliminary quarter-end results show drooping revenues, bleak outlook


Remember when we used to write about Palm in order to talk about its devices and / or operating system(s)? Man, those were the days. Now, it just seems like one sadness-filled report after another, and just days after hearing that it would be cutting an undisclosed amount of employees in order to trim operating expenses, in comes even more doom and gloom courtesy of its preliminary Q2 (fiscal year 2009) results. The company is expecting to record revenues ranging between $190 million to $195 million, far short of the $331 million Wall Street had been counting on. The shortfall was blamed on "a difficult economic environment [which had] greatly intensified the negative impact on product sales." Of course, the visionary Ed Colligan (CEO) still maintains that by reducing its cost structure it can "launch next-generation products as planned," but seriously, why should we believe that line now? Time to put up or shut up, Palm.

[Via CNET, image courtesy of PalmFocus]

Analyst sez iPhone 3G production could fall 40% in Q4


No clue if you've been paying attention the past few months, but quite a bit of belt tightening has been going on. Granted, Apple's been making out just fine, but a fresh report from the doors of FBR Research asserts that it may be cutting its Q4 iPhone 3G production in the wake of a global spending slowdown. It should be noted that a 10% cut was already on the table, making this 30% larger than anticipated. According to the report, the firm's reported decision to scale back production "suggests that the global macroeconomic weakness is impacting even high-end consumers, those that are more likely to buy Apple's expensive gadgets." As we restrain ourselves from thanking Captain Obvious, we should also point out that this may not be nearly as big a deal as the numbers make it seem -- maybe it overshot Q3 production in order to guarantee 100% service levels in all markets, for instance. How's that for analysis?

[Via Silicon Alley Insider]




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