I agree with the criticism though, the Foleo looked like some kind of internet appliance anachronism straight out of 1998. I was fully on board the Palm train too (rip Pre)
I don't really know for sure, 2007 was a weird time. The iPhone launched that year with obvious deficiencies (no apps, no 3G) but managed to evolve into something much better quickly enough that it didn't really matter. The Foleo was really limited, but I'm not sure that would have killed it if they would have gotten subsequent versions right.
I don’t think we can even reasonably talk about Palm circa 2007 and iPhone 2007 in the same sentence.
PalmOS was an aging clusterfuck that was a PDA with cellular glommed onto it (and the good Treo’s of the era ran Windows Mobile, which was better in some ways but a ridiculous mess for its own reasons) and the iPhone, even without apps or 3G was such a revelation and improvement that it single-handedly reshaped not just mobile, but personal computing, nearly overnight.
The software the iPhone did have was truly impressive — at least for the core feature that really set it apart: the web browser.
The capacitive touch screen and the on-screen keyboard made mince meat out of every other mobile operating system in existence or even in development; Google completely changed Android from being a Palm/BlackBerry clone to being an iPhone clone as soon as they saw it. People were willing to jailbreak and reverse engineer their iPhones to run apps on it.
Palm, like most everyone else, was caught completely flat-footed. They weren’t working on webOS in 2007; their next-gen version of Palm OS (the name escapes me) was not going to set the world on fire and Windows Mobile (who they increasingly had offloaded software duties to) was also not doing super well. It took new investors (and management changes that included ousting Colligan, who by all accounts is a pretty great guy and who did lead Palm and Handspring well in different environments) and a brand new engineering team for Palm to create webOS, an OS that had a lot of promise but was still largely better as a tech demo than a finished product, and even with insane work, webOS launched 2 years after iPhone and couldn’t compete on hardware or software.
Foleo, which was from the older era of Palm, never could have worked. Ever. Even in a world without iPhone, it’s a dud. But with iPhone, it’s DOA before it even gets to production.
