Is the Palm economy in full scale decline?

1src has an interesting take on the news by Motricity that it plans to sell off PocketGear having rolled both palmgear and pocketgear into a single entity.

It makes you wonder if there is much left to play for in the palm economy at all now. PDA Performance have packed up shop and I would guess that other developers will do the same in time, or switch their efforts to a new platform, say the iPhone / iPod Touch arena.

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