O2 and Movistar to sell Pre

TELEFÓNICA’S O2 and Movistar have won exclusive deals to sell Palm’s new Pre smartphone – regarded as the closest rival to Apple…

TELEFÓNICA’S O2 and Movistar have won exclusive deals to sell Palm’s new Pre smartphone – regarded as the closest rival to Apple’s iPhone – in Britain, Ireland, Germany and Spain.

Palm said in a statement yesterday that O2 would have initial exclusivity in Britain, Ireland and Germany, while Movistar would have an exclusive deal in Spain. It did not specify when other operators might be allowed to sell the Pre.

O2 already has exclusive British and Irish rights to the iPhone including the newly available 3GS version, giving it an edge over rivals Vodafone, Orange, T-Mobile and 3 this summer.

Movistar is also the current exclusive seller of the iPhone in Spain, meaning that Germany – where T-Mobile sells the iPhone – will be the only European country where the iPhone and Palm are sold by different operators.

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Palm said the Pre would be available in the specified European countries in time for the Christmas holidays in December. It did not announce pricing.

The Pre went on sale in the United States last month, initially with operator Sprint, and Palm said it had broken Sprint’s previous first-weekend sales records in its first weekend of availability.

Palm hopes the Pre, which also competes head-to-head with Research in Motion’s BlackBerry, will lead the company out of persistent losses.

The company pioneered the market for handheld devices in the 1990s, but has fallen behind competitors like Apple and RIM, who were quicker to roll out sophisticated models with popular applications like music and e-mail. – (Reuters)