Rumor: Amazon to acquire Palm-webOS?

Amazon's announcement of its Kindle Fire Android-based tablet was a huge news event this week, but if a new rumor is correct that pales in comparison to what might be next for the online retailer. Venture Beat reports via unnamed sources that Amazon is in "serious negotiations" to acquire the Palm division from HP. That would include purchasing the rights to Palm's webOS operating system. The story claims that HP wants to sell off the Palm division quickly and that Amazon is very close to making the deal official. If true, that could mean that any future versions of Amazon's Kindle Fire tablet could be running on a version of Palm's webOS.

HP bought the Palm smartphone-operating system company back in 2010 for $1.2 billion and tried to launch its own webOS-based products. In July it launched its HP TouchPad tablet but sales were so bad that HP stopped production of the tablet in mid-August and slashed prices of the remaining units. Ironically, sales of the TouchPad soared so much after HP cut the price that the company decided to make one final batch of the tablets that should go on sale later this year. HP had said in the past that it was still interested in developing webOS and even licensing it out to third party companies.

It's not likely that Amazon will pay anywhere near $1.2 billion to acquire the Palm division from HP. If this deal is more than just a rumor it would be HP's first major effort to improve the company since it brought in its new president and CEO Meg Whitman last week.

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That would be cool, since the UI is much more functional and feature-full in WebOS, than in the Kindle Fire OS.

Deihmos said,
Only an idiot woul want to buy webOS. Its slow, buggy, laggy and the apps are like beta trash.

A polished, bug free version of webOS would be more enjoyable to use than android.

Yea... Amazon who have an established Android App store, several android apps and now their own OS based of of android (call it an android distro if you want, whatever) that they are launching on the new Kindle Tablet are going to buy WebOS...

I highly doubt it, makes less sense than Samsung doing so. Amazon have their own system with app store and all, why would they just after launching it go buy another OS...

Who comes up with these rumours, and more importantly why do so many sites keep reposting the stupidest of stupid rumours...

Leonick said,
Yea... Amazon who have an established Android App store, several android apps and now their own OS based of of android (call it an android distro if you want, whatever) that they are launching on the new Kindle Tablet are going to buy WebOS...

I highly doubt it, makes less sense than Samsung doing so. Amazon have their own system with app store and all, why would they just after launching it go buy another OS...

Who comes up with these rumours, and more importantly why do so many sites keep reposting the stupidest of stupid rumours...

To protect themselves from litigation.

Amazon doesn't require Web OS.....it can use Android as it's own.

For one thing they force Amazon Store, instead of Android Market, thus earning a share of every app sold on their device....with Web OS... they wouldn't have enough Apps.....nor they can provide a solid development ecosystem like MS.

Also Amazon also provides music and other services via cloud....thus cutting almost all profit lines for Google.

Also they have their own interface which differentiates it from other Android Products...

I think Amazon is they only company which has used Android efficiently (profit wise), they earn not just as a hardware manufacture, but on software and services as well.

In future they can also work out a deal with MS to replace Google Services like Maps and Search, and get revenue from it.

If all companies started following same model.....Google will virtually not earn any profit for their development on Android...and then they will realise the down side of using open source as a proprietary product

Well, Google has never been making any profit from Android and it likely wasn't the plan either, just about all of their revenue come from ads, that's what they are, an ad company.

Leonick said,
Well, Google has never been making any profit from Android and it likely wasn't the plan either, just about all of their revenue come from ads, that's what they are, an ad company.

That's what I am saying, Amazon can steal their ad money as well

Xenon said,
Ok, if they are gonna get Web OS why should I buy a Android Kindle Fire now?

Well, it's basically a streaming device so it's not like you're gonna lose anything you can't regain by syncing the new device.

Not sure about this, Amazon does have an Android store, and it does pretty well. There's not really many apps on WebOS, as much as I hate to say it

I was going to say that Web.OS is the Slut of mobile OS's right now..but infact, that would probably be android..

It seems to make less sense for Amazon to do this. They get android for basically nothing since they don't license the google apps (to my knowledge anyway; let me know if this is incorrect).

On the other hand, Amazon is probably the only company left that doesn't have a mobile OS already that could make webOS possibly work. There may be no company in the world that can make it work, but Amazon probably has the best chance. They need to get as many tablets running webOS as possible out there as quickly as possible and they can subsidize it because of the media purchases that come afterwards. HP couldn't do that.

Think about if amazon offered an upgrade to the touchpad right now and included all of their online services.. I think they should just take over the Touchpad from HP.. If they could put their online stuff for sale on the touchpads out there, they would instantly have like an extra 500,000 - 1,000,000 touchpads buying their movies and books.. It would be a smart move because they are out their right now without a great app store and online content