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Motorola Takes Equity Stake in 3Com's Palm Computing
Posted: 14-Dec-1999 [Source: BUSINESS WIRE]

[Motorola agrees to take minority stake in Palm Computing and expects to license the Palm OS for use in Motorola products.]

SCHAUMBURG, Ill. -- "Motorola, Inc. (NYSE:MOT), a leading provider of integrated communications and embedded electronic solutions, today announced that it has signed a Memorandum of Understanding (MOU) with Palm Computing, Inc., a leading provider of handheld computing solutions. Under the terms of the MOU, Motorola expects to license the Palm operating system for use in Motorola products. Additionally, Motorola has taken a minority equity stake in Palm Computing, a wholly-owned subsidiary of 3Com Corporation.

"We see a whole new category of wireless devices emerging that combine popular PDA platforms with wireless communications," said Merle Gilmore, president of Motorola's Communications Enterprise. "By combining the widespread appeal of the Palm operating system with the exploding demand for wireless communications, we will be able to provide people with the personal networking capabilities they want and need."

"The Palm Computing initiative is part of Motorola's overall strategy to deliver wireless Internet solutions designed for use at home, work, play or anywhere in between. This development comes one year after Motorola became a shareholder in the Symbian joint venture, which promotes the EPOC operating system for wireless information devices. Motorola remains committed to the Symbian alliance, and is working with both Symbian and Palm to provide the leading platforms customers demand.

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