Press release

07/07/2009

Telefónica and Palm announce Palm Pre exclusive in Europe

Slough, UK, 7 July 2009 - Telefónica and Palm, Inc. today announced an exclusive agreement to sell the Palm® Pre™ phone in Spain, United Kingdom, Ireland and Germany when the device is launched in Europe in time for the winter holidays.

"We are fast becoming the home of the smartphone with the addition of the hotly-anticipated Palm Pre to our already extensive portfolio," said Matthew Key, Chairman and Chief Executive Officer, Telefónica Europe. "Our customers will be the first outside of North America to experience one of the most successful mobile devices of the year."

"Europe continues to be an important region for Palm, and we're proud to work with O2 and Movistar to spread the excitement Palm Pre has already ignited in North America," said Jon Rubinstein, Palm chairman and chief executive officer. "Since we showed Palm Pre at Mobile World Congress in February, there's been a great deal of anticipation for an announcement about European availability, and that day is here."

Palm Pre, the first phone based on the new Palm webOS™ mobile platform, brings your information from the many places it resides - on your phone, at work or on the web - into one simple, integrated view.

Palm Pre introduces a breakthrough user interface and hardware design that makes it one of the most integrated and user-friendly mobile phones on the market. Featuring a smooth, elegantly rounded ergonomic design and a physical keyboard that slides out only when needed, Palm Pre is engineered to feel natural in your hand and comfortably small in your pocket. When closed, Palm Pre is ideal for phone calls, web browsing, music, photos and videos; when open, Palm Pre is optimized for email and text messaging. It provides an exceptional experience for phone calls, whether held to your ear, over speakerphone or via Bluetooth.

Customers who would like to register to receive additional information about Palm Pre and be notified when it's available can register at:

UK and Ireland: http://www.palm.com/uk-pre-notify
Germany: http://www.palm.com/de-pre-notify
Spain: http://www.palm.com/es-pre-notify

ends

Media Contacts:

Simon Lloyd
Telefónica Europe
+44 7912 072777
simon.lloyd@o2.com

Leslie Letts
Palm, Inc.
+1 408.617.8671
leslie.letts@palm.com

About Telefónica

Telefónica is one of the world's largest telecommunications operators by market capitalisation. Its activities are centred mainly on the fixed and mobile telephony businesses, while its broadband business is the key growth driver underpinning both. It operates in 25 countries and has a global customer base of 260 million. Telefónica's growth strategy is focused on the markets in which it has a strong foothold: Spain, Europe and Latin America. Telefónica is a 100% private sector company with its shares listed in Madrid and other stock exchanges and more than 1.5 million individual shareholders. http://www.telefonica.com

About Telefónica Europe

Telefónica Europe is a business division of Telefónica comprising mobile, fixed and DSL operations in the UK, Ireland, Germany, the Czech Republic and Slovakia - all of which use 'O2' as their consumer brand. Telefónica Europe also has 50% ownership of the UK and Irish Tesco Mobile and German Tchibo Mobilfunk joint venture businesses. In addition, the group includes the Isle of Man integrated fixed/mobile operator, Manx Telecom. Telefónica Europe is headquartered in Slough, UK, and has some 46.7 million mobile and fixed customers. http://www.o2.com

About Palm, Inc.

Palm, Inc. is a leading mobile products company, creating instinctive yet powerful mobile products that enable people to better manage their lives on the go. The company's products for consumers, mobile professionals and businesses include Palm® Treo™, Palm Pre™ and Palm Centro™ phones, as well as software, services and accessories.

Palm products are sold through select Internet, retail, reseller and wireless operator channels throughout the world, and at Palm online stores (http://www.palm.com/store).

More information about Palm, Inc. is available at http://www.palm.com.

Note to editors:

Media materials are available at:

Please add the tag #Palm#Pre to your tweets or "PalmPre" to your blog posts about the Palm Pre phone, and follow Palm on Twitter at www.twitter.com/palm.

(1) Use of this device requires providing a valid email address, mobile phone number, and related information for account setup and activation. Unlimited usage data plan strongly recommended; additional data charges may apply. Within wireless coverage area only. Number of applications and actual performance will vary depending on applications used and actions performed.

Palm, webOS, Pre, Treo and Centro are among the trademarks or registered trademarks owned by or licensed to Palm, Inc. All other brand and product names are or may be trademarks of, and are used to identify products or services of, their respective owners.

Back to press release list