Palm launches new entry-level handheld computer

SANTA CLARA - Palm Inc. said today it has begun sales of a new entry-level handheld computer with more memory and bundled with software that lets Palm users with mobile phones send and receive e-mail, browse the Internet and chat from virtually anywhere.

Palm's m105 computer has 8 megabytes (MB) of memory, four times as much as the m100 model computer. The m100 was released last year as Palm's dominant market share was being threatened by new, sometimes less-expensive competitors, especially Handspring Inc.'s Visor.

Palm said it would sell the m105 with its Mobile Internet Kit, which normally retails for $US39.95 ($NZ93).

The software uses a GSM mobile phone, which is not included, as a wireless modem. This enables Palm users to use Web-clipping software and exchange e-mail and instant messages.

Taking a page from the playbook of mobile phone manufacturers, Palm said it will offer 14 detachable faceplates for the m105, in colors like Blue Boa and Burl Wood, at around $US20 ($NZ46) each, in addition to the five colors offered for the m100.

The m105 also comes with a cradle for syncing information to a desktop computer instead of using a cable.

The m105 has a suggested retail price of $US199 ($NZ464), $US50 more than its predecessor.

The new device is available for users of the Microsoft Windows and Macintosh operating systems in English, French, Italian, Spanish, German and Japanese.

Non-English units will be available in mid-March, Palm said.