Palm investing in mobile content startup
According to this Wall Street Journal story, Palm will be one of several investors in the new startup, Mobile Digital Media Inc. headed by "former Palm executives, including former Palm co-chief operating officer Barry Cottle, who has been designated chief executive of the new company, and former Palm chief marketing officer Satjiv Chahil, who is chairman of the new firm."
Mobile Digital Media, which has around 13 employees, will essentially supply content -- such as games, reference guides and back-up memory capabilities -- on secure digital and multimedia cards that Palm users can slot into their devices. Expansion slots for these types of cards are rapidly appearing in a broad array of devices, including in mobile phones, laptops and other hand-held devices.
Last year, Palm sold its own content-filled expansion cards, such as dictionary cards and others, but it will now farm out that business to Mobile Digital Media, say the people close to the situation. Industry experts say these types of expansion cards generated more than $20 million in revenue last year.