HP has completed its acquisition of Palm, a mobile device company that was on the brink of destruction until the HP buyout was first announced in April. In the months leading up to HP's decision, Palm was desperately seeking a buyer. Potential buyouts from companies like HTC and Lenovo ultimately fell through. Finally, HP stepped in and bought the company in a cash deal for $5.70 per share.
For HP, it is a stepping stone into the world of mobile phones. With the acquisition comes Palm's proprietary operating system webOS, which was used in the Pre and Pixi phones.
"With webOS, HP will deliver its customers a unique and compelling experience across smartphones and other mobility products. This allows us the opportunity to fully engage in growing our smartphone family offering and the footprint of webOS," said HP executive VP Todd Bradley.
Former Palm CEO Jon Rubinstein, who is now in charge of HP's Palm unit, said in a statement, "With HP’s full backing and global strengths, I’m confident that webOS will be able to reach its full potential."