While my contacts currently don’t report any fluctuations in terms of the Gandolfini, Gizmondo has just posted extra information on the box. They claim that it will cost less than 200? at Sprints and is targeted at teenagers(they already declared it a hoax…but since it fits with a statement made at the PUM, let’s follow suit). The box will probably sell well – but developers won’t benefit from it. The reason for this is simple:

Most teens pirate software

I attend an austrian technology school – and am among the select few(less than 5 percent) who purchase their handheld programs legally. Most people around me resort to piracy – cracks are available in abundance, and piracy is rampant.

Essentially, the Gandolfini will be a device to attack Series 60 smartphones and Java dumbphones – and it’s content offerings will need to follow the same distribution channels. Either you get on MTV and scam em off with abonnements – or you don’t make significant money in this sector.

Of course, Palm could implement a heavy DRM system of some sort or the other – but I dare to doubt that, as it would make the device less interesting for its target clientele. Teenagers are not very inclined to spend money on software, and the ‘expensiveness’ of games&stuff can easily become a deciding factor for them. And since Palm’s primary interest is customer aquisition – we know who has to give…

What do you think?

Related posts:

  1. On cheeky customer relations staff – Part n
  2. Nova and developers: Tungsten T, redux
  3. New marketing method-Giveaways make rich
  4. Why pirates pirate stuff
  5. Palm unveils new developer support options

8 Responses to “Palm Gandolfini – Palm gets rich; developers not”

  1. Wow… That just hit me…
    Piracy will suddenly be a HUGE problem for every developer… Now i REALLY hope that the Device is a load of crap. ‘Cause we know that Palm will implement that DRM you spoke of. NOT!
    This could really bork up the industry. I am a teen, and though I don’t pirate (I’m serious.), EVERY one of my friends do.
    I was talking to one of them last night and they think that the device is pretty decent (not as good as a sidekick he says) but yeah, pirate+expandable device =? …

  2. Hi,
    IMHO not. Developers wont make LESS sales.

    Their sales just wont increase above the currently pathetic levels…

    Best regards
    Tam Hanna

  3. or… the uptake of Palm devices increases. The young folks using them don’t buy software right now but as they grow older, earn more money and have less time they buy software!

    Speaking personally, there was a time when I was at university when I cracked software, played around with dissemblers and rarely bought software. Now, I am an engineer and work 45-50 hrs a week and I don’t have the time or inclination to crack software. It is ‘cheaper’ for me, in terms of my time, to just buy the software…

  4. true true true true, just comes to my mind the DGR incident about piracy and kinoma and his apps being cracked

  5. As one of those teens you speak of, its a great feeling to use software you paid for.

    What sucks is when developers start to charge upgrade fees.. and for only minor changes (Some are justified though. Streaming, aac & wma are major changes [pocketunes])

    The crapware available nowadays for palm is also growing rampant. Origininality? I must be able to name about 10 different incarnations of golf on the palm. Some little utilites and progs are nice, but some are written (and have UI’s to match) like i wrote code 3 years back in year 8.

  6. Since you have the European perspective, it may be true there. However the Book “Chian INC by Ted C. Fishman mentions that the phone companies in China provide an environment for phone programmers to have some sort of income( not exactly sure how) Japan and Korea has a bigger phone market and their stuff is also another dimension.

    By now the dust on IPod DRMs is settling in Europe but basically Apple did figure out a way to make money off of ITunes. Don’t write off developers just yet, nor underestimate the power of the Giant Telecomms, unfortunately Palm is just small potatoes among the big cogs of capitalism….

  7. I don’t buy much applications anymore: GPL applications are often as good as cloased source. want video? TCPMP. Want emulation? LJP. Want Web? Universe3.
    just look around and you can find virtually anything not under some copyright or crazy scheme like that as open source.

    As for upgrade fees: Many have , they’ve saturated the market. The guys at are out to make money. So, they have to charge upgrade fees, or broke they go and no more upgrades for anyone, pay or not.

  8. Hi,
    great to be among legal users!

    As for the upgrade fees, what we are seeing here is the “saturation” of the Palm Market(imho). As less and less new users become available, developers need to resort to existing customers to make money…

    As for carriers implementing DRM, I dont see the european carriers making a move here. Reason is simple: the current situation pays out well for them..earn money by selling boxes to teens and let the developers look for themselves.

    Best regards
    Tam Hanna

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