With sales falling well short of even its worst forecasts and its cash dwindling, Palm faces a number of tough decisions in the coming months.
Analysts say there are no easy answers.
It is a dramatic turn of events for Palm, a company that launched a very successful initial public offering just 14 months ago. Now the company faces dwindling cash and a glut of its products, some of which may be thrown out to avoid destroying the pricing structure in the handheld business. During a conference call after the dire announcement, Yankowski refused to outline the alternatives Palm is considering. A handful of options The company could take several paths. It could scale back its Palm.net business in which it tries to be both portal and Internet service provider to customers with wireless Palms.