We didn’t buy Palm to be in the smartphone business. And I tell people that, but it doesn’t seem to resonate well. We bought it for the IP. The WebOS is one of the two ground-up pieces of software that is built as a web operating environment…We have tens of millions of HP small form factor web-connected devices…Now imagine that being a web-connected environment where now you can get a common look and feel and a common set of services laid against that environment. That is a very value proposition.

Now I understand why they are freaking out.  They are gadget people and they think HP is abandoning smartphones.  The thing I don’t get is the short sightedness in their concerns.  If you are looking 5 years ahead why would you focus on smartphones?  With 4G networks coming online and wireless broadband mainstreaming there’s no reason to focus on them.  There will be very little distinguishing them from tablets or other mobile devices by then.