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Press Release

Palm and IBM Enter Reseller Agreement Alliance Provides Customers With Upgrade Path, Expands Market
SANTA CLARA, Calif., July 23 /PRNewswire-FirstCall/ --
Palm, Inc. (Nasdaq: PALM) today announced an agreement through which IBM
becomes a U.S. reseller of Palm(TM) handheld computers. The agreement not only
broadens the handheld product choices for IBM's large customers, but also
brings Palm handhelds to the attention of small- and medium-size businesses
that purchase from IBM. Customers can now purchase any Palm handheld -- from
the entry-level Palm m100 series to the higher-end Palm m500 series, or the
Palm i705 handheld with integrated wireless(1) -- from IBM. "Palm understands the intense demands of a company's mobile fleet and
makes products that meet their needs, whether in a business group, across a
corporation through the IT department, or for a small business," said Glenn
Cross, senior vice president, Americas Sales, Services, and Enterprise
Business Development, Solutions Group, Palm, Inc. "As we continue to make
strides into the enterprise, relationships with business leaders like IBM
strengthen our position and help us to better serve all our enterprise
customers. Being chosen as an IBM supplier of handhelds is clearly a
compliment to our technology and reaffirms our role as a champion for the
mobile enterprise."
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 (2001). 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.
(1) Wireless Internet access via the Palm i705 handheld requires a
subscription to the Palm.Net(R) wireless service, which is paid for by
users and proprietary to Palm. Coverage is limited and available only
in the United States.
NOTE: Palm OS and Palm.Net are registered trademarks and Palm is a
trademark of Palm, Inc. IBM is a registered trademark of International
Business Machines Corporation. Other brands may be trademarks of their
respective owners.
SOURCE Palm, Inc. Web site: http: //www.palm.com CONTACT: Kristine Boyden of A&R Partners, +1-650-762-2831, or kboyden@arpartners.com, for Palm, Inc.
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