Palm: tight component supply for Centro

Palm warned financial analysts that a "tight component supply" could bog down shipments of its smartphones in the third quarter. The handset maker said that its Centro line of phones will be the hardest hit in its line-up. Palm has an exclusive deal with Sprint Nextel for distribution of the $99 handset in the U.S.

This is just the latest grim news from Palm. According to a report from PalmInfoCenter, Palm is beginning to inform employees of job cuts, which could total in the "hundreds." A Palm representative confirmed that the company was planning layoffs, but would not disclose how many employees would lose their jobs.

For more on Palm's Centro woes:
- read this article from MarketWatch