Verizon Wireless offering Palm WiFi hotspot service for free

It was no April Fool's joke last week. Verizon Wireless not only slashed the price of the Palm Pre Plus and Pixi Plus but stopped charging for the Palm WiFi hotspot service. The offering turns Palm devices into mobile WiFi hotspots and was introduced in January at $40 per month. Existing subscribers are also not being charged.

In a move that likely aims to get Palm devices off the shelf because of a surplus of inventory stemming from slow sales, Verizon Wireless dropped the price of the Palm Pre Plus down to $50 and the Pixi Plus down to $30 and is offering a buy-one, get-one-free promotion, according to FierceWireless.

Palm CEO Jon Rubinstein recently faulted Verizon for failing to meet expectations for its launch of Palm's products in late January, but has since said the companies are working together to improve sales.

The question is: What does this do to personal hotspot pricing in the future?

For more:
- see this FierceWireless article

Related articles:
Palm beats revenue expectations but device sell-through slumps
Verizon drops mail-in requirement for Palm rebate
Palm CEO: Verizon's launch 'below expectations'
Palm cuts revenue forecast, shares plummet
Palm watching: Analysts worried about uptake at Verizon
Verizon's Palm pricing: WiFi hotspot service to cost $40

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