SANTA CLARA, Calif., Feb. 8 /PRNewswire-FirstCall/ -- Palm, Inc. (Nasdaq: PALM) today said that Palm Digital Media was named Best eBook Publisher by Handheld Computing Magazine when it announced its list of Best Palm Powered(TM) Products of the Year for 2001 on Thursday.

The annual awards highlight the best Palm Powered products released during the past year, including devices, peripherals, software and accessories. The winners are chosen by the magazine's editorial team who evaluate the products based on a variety of factors, including innovation, design, accessibility and appeal.

Palm Digital Media won top honors in its category for what the editors call the "amazing" quality and selection of its electronic books. Palm Digital Media offers more than 4,000 eBooks from most major U.S. publishing houses.

"It's an honor to be recognized by a magazine that is focused completely on the interests of handheld computer users," said Mike Segroves, director of business development for Palm Digital Media. "With an average about 1,000 new customers a week, we continue to expand our range of eBooks and magazines to give them the widest selection possible in a format that is easy to download and provides a number of customizable features to make their experience enjoyable and comfortable."

The eBooks are available for reading with Palm Reader(TM), recent winner of Pocket PC magazine's Best Product award for eBook Readers. Palm Reader runs on Palm Powered handhelds using Palm OS(R) 3.0 and higher, as well as on Pocket PC handhelds. Also available is Palm Reader Pro, the next-generation eBook reader that features a built-in Webster's New World Dictionary and a collection of new fonts from Agfa Monotype Corporation, one of the leading providers of digital content for graphics professionals.

Palm eBooks are available at www.Palm.com/ebooks. The eBooks are available for purchase and immediate download 24 hours a day. Most Palm Reader eBooks take less than two minutes to download and require only a few hundred kilobytes of available memory on the reader's handheld computer.

About Palm, Inc.

Palm, Inc. is a pioneer in the field of mobile and wireless Internet solutions and a leading provider of handheld computers, according to IDC (December 2000). Based on the Palm OS(R) platform, Palm's handheld solutions allow people to carry and access their most critical information wherever they go. Palm(TM) handhelds address the needs of individuals, enterprises and educational institutions by offering the foundation for thousands of application solutions. Palm stock is traded on the Nasdaq national market under the symbol PALM. More information is available at http://www.palm.com .

NOTE: Palm OS is a registered trademark and Palm, Palm Powered and Palm Reader are trademarks of Palm, Inc. Other brands may be trademarks of their respective owners.

SOURCE Palm, Inc.
Web site: http: //www.palm.com
CONTACT: Kathleen Dixon of Dixon Communications, for Palm, Inc., +1-408-871-7765, or kathleen@kdixon.com