The Pre from Palm was met with rave reviews although the company is holding off. Release of the phone is expected during the second quarter of 09 through Sprint’s Network.

The company announced performance has been dismal.  Analysts had been expecting Palm would take in $157 million during the last quarter. Although Wall Street expects Palm to record between only $85 million and $90 million in revenue. The simple view of the last quarter is that “sales of older products has fallen off a cliff.”  The company tried to cover the gap with the Treo Pro, although sales have not been brisk given the economic climate and tepid carrier support.

Palm has been burning money from cash injections received from Elevation Partners. In an attempt to curve the Company position, they plan to utilize the same method as Apple (through their sales of iPhones) and record sales over a 24 month period, rather than up front. According o the press release, Palm may consider tapping other sources of capital.

[via CNET]