Palm Laying Off Some Employees

Palm, Inc. is in the process of laying off some of its employees. The exact number is not publicly known.

A Palm spokesperson told News.com that these layoffs are not about cost cutting, but are instead "eliminating some of the hierarchy". Palm is still hiring employees in some areas.

The job cuts are mostly among Palm's U.S. development team, but also extend throughout the company.

Big Changes at Palm

It's likely this this round of layoffs is somehow related the the recent announcement that the private equity firm Elevation Partners will be buying 25% of the company for $325 million.

As part of this deal, Jon Rubinstein, former head of the iPod division at Apple, will join Palm as executive chairman of the board, and he will also lead the company's product-development efforts.

Still, this deal hasn't yet been approved by Palm's shareholders, so at this point it shouldn't be having too large an effect on the operation of the company.

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Via Palm Infocenter