Handspring Expects to Be Profitable by June
Throughout its history, Handspring has not yet had a profitable quarter. If the company's hopes for the Treo come true, that is about to change. Handspring's CEO Donna Dubinsky said recently that her company expects to become profitable in the quarter which ends next June. Analysts aren't so optimistic. They are predicting that Handspring will lose 7 cents a share that quarter.
Much of the company's optimism comes from the positive reception the Treo has received. This wireless handheld with both voice and data capabilities recently won the Best of Comdex Award and has received a very positive review from the influential Wall Street Journal technology columnist Walter Mossberg. He called it, "the best personal digital assistant I have ever used and the most capable cellphone".
A monochrome version of the Treo is expected in January while a color one should be out about three months later.
Handspring has spent most of this year mired in a price war with Palm Inc. that has cut profits for both companies to the bone. Palm itself had hoped to return to profitability this quarter but now says that isn't going to happen.
Thanks to jeevester for the tip. -Ed
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RE: what, no HS is dead post?
There are you happy?
RE: what, no HS is dead post?
only non-clie users will say stuff like "sony's not going to support MS modules on their S-series" whenever a post about Clie is up.
RE: what, no HS is dead post?
It's a script we've been following whenever an article involving Sony or Handspring comes out. Let's just forego this repeat of the same discussion. It is true, the Treo doesn't support springboards. It is also true that Memory Stick add-ons are not supported by all CLIEs.
Please, let's leave this one be.
RE: what, no HS is dead post?
Treo Uses Palm OS. So it's a palm Device
Sony walkman does't run palm OS my friend.... :)
Handspring is dead
RE: Handspring is dead
RE: what, no HS is dead post?
What a pathetic post... All companies lose money, specially when they are on the market for so little time. Did you hear the word "investment"? Handspring is the number two PDA seller. It sells more tban all PPC devices. Stop crying if you donīt have money for a Treo...
Treo
I agree.
Look at the Nokia phones right here right now. They are the oldest of all, and people always look for free cell-phone when signing up a two-year contract. Maybe that's why. North America never focus on quality of life; it focus on value. Just look at McDonalds and Wal-mart in America. They are a different story in Europe.
P.S. It may be better in Europe and Asia, but I heard nothing about any wireless carriers over there.
RE: Treo
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Stuffing feathers up your ass does not make you a chicken.
RE: Treo
Just wake up folks. Just look at your friends and collegues beside you. Look at the cell-phones they are using right now (bought and paid by them), and took a little stat with your Palm. You will find out the majority cost of the cell-phone they bought is a whopping $100-150 US.
A seperate PDA and a seperate cell-phone is a better combination because of choice of carriers. Also, you can upgrade either unit at a time rather than you have to buy an all-new treo every time.
The best combination is a blue-tooth cell-phone, a blue-tooth Palm PDA and a set of blue-tooth wireless earphones. That will make wireless perfect.
RE: Treo
the treo may not do as well as the m100 or the nokia 51xx series, but those are a completely different market. yes, wal-mart and mcdonald's do well in the states but that doesn't mean there's no market for higher-end products.
RE: Treo
RE: Treo
But are you going to tell me Handspring's going to aim at the high-end market while their deluxes sell for $129?
I never saw BMW sells civics or Honda sells a real-drive, I-6 sedan.
Am I right?
RE: Treo
like BMW
The TREO ain't a high-end product. Yes, it's expensive at $400 but the feature set don't make it high-end.
And GSM is plain stupid in the US market.
Sorry, no cigar.
RE: Treo
> aim at the high-end market while their deluxes sell
> for $129?
>
> I never saw BMW sells civics or Honda sells a real-
> drive, I-6 sedan.
Of course BMW doesn't sell Civics. Hello! :)
Doesn't Ford own Jaguar? Doesn't Microsoft sell Flight Simulator as well as compilers as well as wheel mice? Doesn't IBM make ASCI White as well as $800 laptops? Doesn't Marlon Brando appear in both On the Waterfront and The Island of Dr Moreau?
RE: Treo
Compilers and mice are different products and serve different functions, and so are IBM's servers and laptops - hopefully you recognized that.
No single company/brand is successful to lure all spectrum users at the same time for one group of product. That is what called marketing and targeted consumers. Just like Ford cannot sell an X-Type and Jaguar cannot sell a Focus.
RE: Treo
Nissan makers of the lowly sentra, own infinity.
Toyota of Corolla fame own Lexus.
These companies wisely profit on all segments of the market.
RE: Treo
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Stuffing feathers up your ass does not make you a chicken.
RE: Treo
How about Lexus Corolla?
No matter what company owns another company, you still have to have a seperate brand. Is that simple?
Unless Handspring ditch the image for low-end devices, how could they sell such an expensive item for $599 without a contract for a monochrome device?
It is just similar to ask Lexus to see a GS 430 while they have a Lexus Corolla in the line-up. People who bought GS 430 will not like to see people driving Lexus Corollas around. Just like if people want to buy Treos, they will not want to see the Deluxes, Neos, Pros around. Isn't that simple?
Do any of you need further explanation?
P.S. The owner of a particular company and the parent company have no direct relationships with their repective products. If you dream that you buy a Ford Focus equals to buying a Jaguar X-Type, you need some sort of meditation.
RE: Treo
No, it is the high end of the general consumer market. The "Maxima" of PDAs at 399.00. Try getting a newly released PPC at that price. With unique features that no luxury priced PDA can match.
RE: Treo
RE: Treo
RE: Treo
Who is going to buy it and not use the phone service?
Does 399 plus a contract mean HS will make an obscene profit? Perhaps. The question is will people buy it. Peter tries desperately to explain that this is a rip off. The very fact that you HAVE TO ARGUE your point with people shows that many would spend the money.
You wont be there in every VoicStream dealer to explain that the treo really costs 600 bucks.
I bet very few here fight now even know how much their current cellphone costs without the contract.
They will sell by the gazilliion.
Thus the "profitable by june" article.
Who is the Treo Target Market?
I'm really having trouble figuring out who will buy this Treo thing. Current high-end PalmOS users with their CLIE760's and m505's won't want to downgrade to a tiny B&W screen and trying to keep the 2 in Sync is more headache than it's worth. Current low-end PalmOS users (Handspring Deluxe,m105 users) this will cost waaay to much. And as for plain old cellular users they probably are looking for $.01 phones with their 2year cellular contracts.
Handspring needs to hedge their bets elsewhere.
RE: Who is the Treo Target Market?
RE: Who is the Treo Target Market?
RE: Who is the Treo Target Market?
Indeed, they fail both of these. How can you expect a big hit? A big flop indeed.
Don't tell me you Europeans love the elegance of Handspring's devices, such as Neo, Pro, Prism. I will be amused.
RE: Who is the Treo Target Market?
Oh, then there will be the above mentioned savvy europeans who spend most of their cell phone minutes downloading ring tones and other highly constructive pursuits.
RE: Who is the Treo Target Market?
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Stuffing feathers up your ass does not make you a chicken.
RE: Who is the Treo Target Market?
$120 for a mid range nextel phone.
$200 for a PalmVx
$400 for Blackberry 850, cheapest one you can get.
=$720 Treo $400
Obviously Treo is a better choice for business. Less work for ITs means less ITs. Less TCO means less spent on support. Also a lot easier to write software for as there more dev tools and many 3rd party shops that can be hired to do this. Imagine you have a single prog. for all your handhelds that gives you access to the company's database or whatever, less development, less money spent. A savings in every area.
Obviously prices will not be the same if you are buying in bulk, but that'll still make the Treo cheaper and more feature pact.
---------------------------------------
Stuffing feathers up your ass does not make you a chicken.
RE: Who is the Treo Target Market?
High end PDA users will wait until March and buy the color version. It will be smaller than their current model and do alot more. Low end users will have to wait a year or so to when there's a Treo model that costs less than $200, but there will be one eventually. And someday these might even come free with a mobile phone contract.
Plus, there are tons of mobile phone users who are ready for their phones to do more. About twenty times as many mobile phone have ever been sold as PDAs. If Handspring can sell just 5 percent of current mobile phone users a Treo, they'll be the number one PDA maker.
The point is, wireless handhelds are the future and Handspring has shown that they know that. Sony and Palm still haven't.
RE: Who is the Treo Target Market?
First, Handspring has no enterprise presence (all most.) This company still has a full line-up of low end models. If you says Handspring can invade in the enterprise market, that comes a question - why cannot company purchase seperate PDAs and phones at the same time, due to the fact that wireless carriers are more flexible in this way, especially globally?
Just look at this - A PDA/Phone w/o a contract worths $599. That's even more than buying two seperate things and have more flexbility.
P.S. By the way, it does not matter how many Blackberrys your company buy/bought. It only matters how many of them are sold in each quarter - or you can look at the revenue for RIMM. That tells you whether the market exist or now. And Don't argue to me that Blackberrys' market is having a good time right now. Those folks at RIMM already said they will lose money in the coming QUARTERS! A fact is a fact. It is not come from your mouth.
RE: Who is the Treo Target Market?
Just take a look at a basic example.
If you buy a TV for $200 and a VCR for $100 and you want to sell a product that is TC/VCR combo, you have to know that the price cannot exceed $300. Or your product will flop.
Just tell me what is the total price of a decent cell-phone and a monochrome PDA. Is that over $599?
That tells you the whole story.
RE: Who is the Treo Target Market?
Did you know that the new GSM/GPRS network already support you to use your cell-phone to check e-mail and tells you an email has arrived? Do you know what is always-on?
So why does one need to bother with a Blackberry?
So the combo looks like this:
A cell-phone $100-150 without a contract
A m500 or Sony T415 $300
Total $400-450 without a contract
Yet you can choose different wireless carriers. It also good for travelers cross-continent.
Do you need to know more before speaking?
RE: Who is the Treo Target Market?
> Just tell me what is the total price of a decent cell-phone and a monochrome PDA. Is that over $599?
Your analogy is correct only as long as the combo product is no better than the two separate products working in tandem. This ignores the concept of synergy. A product can be greater than the sum of its parts. It isn't always, like your TV/VCR combo, but it can be. From all reports from people who have actually used a Treo, not just read about it, this combo is much better than just a cell phone and a PDA. There is less complexity for the user to deal with in the Treo. Don't underestimate the advantage of this to the typical man on the street who can't figure out how to set the clock on his VCR. Also, the Treo is actually smaller than all but the very smallest PDAs and about the size of a small cell phone. You aren't going to be carrying the TV/VCR around but the phone/PDA combo will go with you everywhere so size does matter.
> Just tell me what is the total price of a decent cell-phone and a monochrome PDA. Is that over $599?
In order for a cell phone and a PDA to simulate the ease of use of a Treo, they'll have to be connected with bluetooth. Wires or infra-red are just too clumsy. A phone with bluetooth and a PDA with bluetooth will set you back $700 or $800.
RE: Who is the Treo Target Market?
How about when the times that we do not have bluetoth?
Have you heard of infra-red, or a cable?
Finally, the Treo size is contradicting, from what you say. A size close to a cell-phone but it is a PDA. How about the screen. Unless the screen is foldable, its size alone will be much bigger than a cell-phone.
Tall about synergy. I do know that there is more complexity in Treo itself:
1)wireless carriers
2)global connection (cross-continents)
3)no expansion now or later
4)no upgrade e.g. memory
5)a size that is not big enough to be a PDA and small enough to be a cell-phone
6)poor battery life as an PDA or a phone, individually
7)What should I do when sometimes I need only a cell-phone or a PDA?
8)Finally, back to the price. $599 without a contract!
P.S. Handspring Prism + visorphone = $299 with a contract is bigger, but it is actually much cheaper.
RE: Who is the Treo Target Market?
---------------------------------------
Stuffing feathers up your ass does not make you a chicken.
RE: Who is the Treo Target Market?
---------------------------------------
Stuffing feathers up your ass does not make you a chicken.

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what, no HS is dead post?
In terms of financial viability, I'm thinking that HS is much stronger than Palm right now. The treo is a strong device, despite the fact that it will not make mixed drinks for you. When the economy picks up, they'll be well positioned to be a staple in the market.
Just b/c HS isn't dominating doesn't mean they're dead, and just because they're doing alright doesn't mean they're going to tromp everybody else. Whatever the sonyites would have you believe, there is room in the market for multiple companies, so this middle-of-the-road announcement is a welcome reminder that all the extremist calls to bankruptcy and tromping are just that: extremist.