Verizon has cut the prices of the Palm Pre Plus and the Palm Pixi Plus to $50 and $30, respectively, with a two-year contract. It has also made Mobile Hotspot, which previously cost $40 per month, a free service. In addition, the company’s “buy one, get one free” promotion for the phones is still in effect.
Mobile Hotspot turns the Palm Pre Plus or Pixi Plus into a wireless router, allowing users to connect up to five devices and use Verizon’s network to access the Internet. The service will now be free for new customers and existing customers will see the charge for the service reduced to $0 on their next bill.
The price cut is likely tied to the overstock of Palm phones after the company shipped 960,000 units in Q3 2010 but sold only 408,000 units. During the Q3 2010 earnings call, Palm emphasized the importance of increasing sell-through.
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