Amazon Reportedly Planning Palm, webOS Acquisition

Online retail giant Amazon is in ‘serious negotiations’ to acquire Palm from PC maker Hewlett-Packard, it has been revealed.

A well-placed source has told Venture Beat that HP is eager to dump its failed Palm division and Amazon is closest to acquire Palm, along with webOS, than any other suitor.

Amazon recently unveiled its own media tablet device called the Kindle Fire, which will be available for $199. Users will be able to access a plethora of content offered by Amazon including books, movies, TV shows, music and Android apps.

Experts believe that Amazon is in a right position to make something out of webOS as it can use it the way it wants to power future Kindle Fire tablets and differentiate its offering from competing Android based devices.

Another reason by Amazon is best fit for webOS is that late last year, Palm CEO Jon Rubinstein, joined Amazon’s board. He is currently working with Hewlett Packard in its Palm division.

Also in an interview some time back, Rubinstein had said that HP would like to partner with a company that would help grow webOS and named Amazon as the desired partner.