Handspring Cuts Sales Predictions, Prism Price
Handspring admitted late yesterday that they aren't going to make their original sales estimates for their current quarter. Near the beginning, they estimated that sales would be over $130 million this quarter. Instead, they said yesterday are going to be closer to $60 million. Last quarter, Handspring had sales of $123.8 million.
As part of their attempts to increase sales, Handspring will cut the price of the Prism from $450 to $400. This should go into effect this weekend.
Back in April, Palm revealed that it was in financial trouble and since then has been moving aggressively to work its way out., including some dramatic price cuts and inventory write-offs. Until now Handspring has been keeping up a bold front. As recently as last month CEO Donna Dubinsky repeated that she was sure sales would be over $130 million.
They have now changed their tune. Yesterday she said, "While we have been scaling back our expectations for growth over the past six months, the recent rapid and dramatic decline in the rate of sales growth was unexpected."
The company is going to decrease its spending and reduce its hiring rate. No plans for lay-offs were announced.
Ms. Dubinsky said she is optimistic that they will end this quarter with inventory levels near their targets for all models except the Edge, which they expect to have in higher numbers than they want. Handspring announced a $100 rebate on the Edge yesterday to improve sales.
Handspring's shares dropped from $8.90 to $8.05 in after-hours trading.
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RE: Handspring Price Cuts
You are telling me you wouldn't pay 400 dollars for an Prism, and you think a competitive m505 is good deal? You also mention that it doesn't offer enough bang for the buck. When I get done ranting I am going to name the module we have for the Handspring and the "ghost" modules we have for the m505. Poor deal compared to the m505, are you nuts?
Handspring has never really taken the market with a high end model. Look at how the Visor was introduced at a lower price, more features, but non-upgradeable RAM. What market do you think they are going for? Take a wild guess. What do you mean by high-end as well? I can't think of a function the handspring can't do that the other palm powered pieces do. I mean, have you ever read about some of these modules made for electrical engineers, or medical practicioners.
Name one other company that is offering a trade in credit for PDA's? My friend, you say the war has been lost. To who? Palm? Are you kidding me, who is the maker that has to destroy over 300 million dollars worth of back inventory because it just won't leave the shelves?
The ONLY maker that can justify their high-end offering would be Sony. Look at the features. Look at the screen. HandEra, and this is just my personal opinion, doesn't seem to interest me because the expansion capabilities just aren't there yet. Compact flash, Handspring has been there.
eh, talk to you later.
RE: Handspring Price Cuts
This smacks of the same stupidity and internecine warfare when CrApple cloned the Macintrash. It was the CrApple camp versus the clonse manufacturers with every blithering idiot defending one or the other. And while the dolts continued bickering, Wintel and friends destroyed them both in marketshare. Same stuff is happening with Palm and friends. If these corporate bozos don't innovate soon and fast, they're going to be another CrApple and friends.
TANX.
RE: Handspring Price Cuts
The Prism was released at $450. So was the Edge. If that's not high-end, what is?
Sorry if I wasn't too clear in my first post. $450 is too much to pay for the Prism. $400 is more reasonable.
p.s. To the guy who posted at 10:56: You might actually have a chance at convincing somebody if you could get through a sentence without insulting someone.
RE: Handspring Price Cuts
Actually, the Edge was originally $399. I think it was priced to compete with the m500. Turns out neither one is selling so good. Maybe this is a sign that b&w won't cut it in high-end machines anymore. Still good for mid and low-end models, tho.
RE: Handspring Price Cuts
Although I am an Edge user, I am more than happy to see all the price adjustment on 50x, and Visors. Afterall, we - the consumers - are going to benefit.
Francis Lo
Hong Kong
B&W is dead. I told you people weeks ago.
The new color Handspring should shut you up very quickly
Huh?
RE: Handspring Price Cuts
Handspring makes ( for the money) the BEST handhelds in the industry can your pocket pc/ palm/handera/ipaq/sony do presentations....wireless ethernet....your choice of modems ( at least a half dozen.)..cross platform (does your sony come with a windows 3.1, 95 desktop? mac desktop?) NOT
go ahead buy the palm and when that super thin flash card snaps/cracks/ breaks you will wonder what a great deal you got.
Handspring Overpriced... maybe but you cannot question the quality. While handspring leads, the others will follow. I'll stick with the innovator. you guys can get the immitator.
OT - Brighthand's incompetent Steve Bush fired!
http://discussion.brighthand.com/showthread.php?&threadid=20651&pagenumber=1
http://discussion.brighthand.com/showthread.php?&threadid=20382&pagenumber=1
RE: New HandSpring Colour unit.
So, what is missing or holding back the release of a new, more compact Visor unit ? Basically all the components are there. Production can ramp up easily with the "module concept". The critical factors is where the new model will sell if it is only OS3.5.2 and a V50x colour screen. Secondly, adding a new model will certainly add pressure to its inventory problems.
But imagine if Handspring talked to Handera and create a colour version of the 240 x 320 screen with virtual graffiti, then I can see the potential. I don't know however, if Handspring is allowed to added 3rd party features not developed within their existing OS license with Palm Inc.
Francis Lo
Hong Kong
Lame
Standardizing the expansion ports across the platform and lower $$ would be a good start.
RE: Lame
Why?
Because they make alot of money on high-margin accessories that you are forced to purchase again-and-again everytime they introduce a new palm device. Frankly I'm sick and tired of it and that's why I declined to "upgrade" my Vx.
And frankly when Palm gets off their arses and introduces OS 5.0, it's going to be for all purposes like PocketPC. So, I'm eyeing some the next generation pocket pcs coming out by the end of the year.
Too little. Too late.
;-)
Posted by: I.M. Anonymous @ 6/9/2001 12:41:12 AM
The new color Handspring? Released in a few weeks, never before being announced, with no electronic shows between now and then? Moron!!!!!
;-);-);-);-);-);-);-);-);-);-);-);-);-);-);-);-);-);-)
How do you feel now?
I knew it!!!
Palm Stock Price Rises
o
Palm Stock will be below $3 in less than a month
Furthermore, their wireless strategy is doomed to fail and the new color Sony and (upcoming) Handspring models mean Palm has now lost the high end as well. They need to find out if they can get out of their OS licensing contracts before the go bankrupt.
Palm's not alone
Who owns stock in Palm
Let's Sum All This Up
"My PDA is better than your PDA. It can do all these things, and yours can't. AND it's easier to use than yours. And it's got a better screen. Or at least, I'm FINE with the screen. My PDA can beat up your PDA. It's got a new killer app available ONLY for it that gives it this ability. If you didn't know about that app, well, maybe you should stop showing your ignorance,
If any of this sounds like you, well, you can log off now and go DO SOMETHING. Go to the park. Throw a frisbee. Go see a movie. Go to the mall. Go for a drive. Go grocery shopping. Wash your car. Paint your house. Have sex. Play golf. Spend some time with your kids. But get a life and do something that forces you to turn off your computer and leave your PDA at home. "I love my PDA." What a ridiculous statement. You LOVE an inanimate object? Are you a child? It's a sad commentary on our society that we love electronic gizmos but treat living, breathing humans like dirt. We get in auto accidents because we're busy checking our beloved PDAs for a number we need to enter on our cellphones. But we can't treat the other driver with civility; we may even get violent toward them. I shudder at the thought of an m505 user wrecking with a Clie user--or worse, an iPaq user. It sometimes makes me wish for the simpler days when pen and paper ruled. I don't remember too many obscenity-laced tirades over the merits of Papermate versus Bic. Do you?
Pontificating is fun. Let us alone and YOU go do something!
RE: Let's Sum All This Up
RE: Let's Sum All This Up
And, yes, please do throw your big, bulky PDA. Then maybe it'll hit a wall and break...
[ No Subject ]
RE: palm III
All Palm os Wince wiltat the end of this yearúå
RE: All Palm os Wince wiltat the end of this yearúå
Re: Let's Sum All This Up
RE: Re: Let's Sum All This Up
I think this is the most immature comments I have ever seen.
RE: Re: Let's Sum All This Up
C'mon!
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Handspring Price Cuts
It is sad for me to say but right now Handspring doesn't have an interesting high-end model. As sick as most of us are of the m505 vs. N710C wars, I think it is interesting that Handspring doesn't get brought up much. In the old days, the endless fight was Palm vs. Handspring but it looks like Handspring has finally lost that.
Which isn't to say that Handspring doesn't make good stuff. But their best handhelds are in the middle price range. The Solo is too high priced for the low end and their high-end stuff doesn't offer enough bang for the buck.