Palm Delivers Wireless Always-on, AOL Instant Messenger (AIM) Service on New Palm i705 Handheld

Press Release

January 28, 2002

Always-on Connection Also Gives Palm i705 Customers Quick Access to AOL Mail, MapQuest.com, AOL Moviefone and AOL Local Content and Information

SANTA CLARA, Calif., Jan. 28 /PRNewswire-FirstCall/ —
Palm, Inc. (Nasdaq: PALM) is delivering AOLŒs popular AOL(R) Instant Messenger(TM) (AIM) service and a host of other popular AOL services on the new Palm(TM) i705 wireless handheld. Palm i705 users will receive access to the AIM(R) service, including the Buddy List(R) feature, and additional AOL services for no additional charge when they subscribe to the Palm.Net(R) service. The Buddy List feature lets users immediately see when colleagues, friends and family are online and available to exchange instant messages.

The new Palm i705 handheld integrates secure, always-on(1) “push” email, web browsing and expansion, as well as the AIM service, in a sleek, small package. In addition, the all-new version of the MyPalm(TM) wireless portal provides a set of mobile services for the Palm i705 handheld that is updated automatically through the HotSync(R) operation, including full web browsing and searches, a directory of nearly 50 of the best sites and services on the web, and a customizable personal page of weather, stock quotes, news, email and more.

AOL and Palm also are making it easy for users of the Palm i705 handheld to communicate and stay informed while on-the-go by providing them with access to AOL Mail, news, driving directions, and local event and entertainment information via AOLŒs popular online brands, including MapQuest.com and AOL Moviefone. With the launch of the i705 handheld, AOLŒs local and city-specific content and information is being offered for the first time on the Palm OS(R) platform.

“TodayŒs introduction of the Palm i705 with the AIM service is a big win for mobile professionals,” said Lisa Hook, president of AOL Anywhere. “With the i705 introduction, weŒre now bringing together the most popular instant messaging service with the most recognized brand in wireless handheld computing. The Palm i705 makes it easy for consumers to access important AOL features and services anytime, and this launch builds on a successful business and technology relationship between Palm and AOL.”

Todd Bradley, executive vice president and chief operating officer of PalmŒs Solutions Group, said, “WeŒre delivering a great new customer experience by marrying the advanced notification and always-on features of the i705 with the AOL Instant Messenger service and other popular AOL brands. Coupling these services makes the Palm i705 a powerful, high-value communication tool for individuals who are on the move.”

The Palm i705 handheld with the AIM service gives users a whole new way to use their handhelds by sending and receiving private text messages with others in real time while on-the-go. This makes it possible to reach people anytime — on their handheld, on their mobile phone, at work, on their home computer — with the added benefit of “chatting without talking” when discretion during a conversation is needed. The Palm i705 handheld with the AIM service also lets handheld users see when colleagues, friends and family are online and available to receive instant messages via the Buddy List feature.

The Palm i705 handheld, available this week in the United States, is designed for two distinct types of use: for personal use by highly mobile professionals, and as part of an end-to-end enterprise solution, centrally managed by an IT department for corporate users. Sporting a sleek, new industrial design with a silver case and removable flip cover, the Palm i705 handheld works with both Microsoft Windows and Macintosh operating systems.

About Palm, Inc.

Palm, Inc. is a pioneer in the field of mobile and wireless Internet solutions and a leading provider of handheld computers, according to IDC (December 2000). Based on the Palm OS platform, PalmŒs handheld solutions allow people to carry and access their most critical information wherever they go. Palm(TM) handhelds address the needs of individuals, enterprises and educational institutions by offering the foundation for thousands of application solutions. Palm stock is traded on the Nasdaq national market under the symbol PALM. More information is available at http://www.palm.com.