Palm Pre Supply Worries

4:45 PM -- Analysts are starting to get concerned that Palm Inc. will not be able to ramp production supplies of its new Pre smartphone, which went on sale this Saturday (See Palm Pre-Day: Crowded, But Not Frenzied.)

Reuters is reporting that CL King and Associates analyst Lawrence Harris says that shipments appeared to be fewer than he had the expected.

"We now estimate that Palm shipped 50,000 Pre units in May, compared with our prior estimate of 100,000," King noted in a research paper for clients. "Our experience suggests that ramping up production of the Pre could take some time."

Unstrung columnist Bob Faulkner actually examined potential supply problems for the Pre in a column on the site a couple of weeks ago. (See P-Day May Hold Surprises.)

For the record, however, staff at a Sprint store in New York City that Unstrung visited on Saturday said that they expected a steady supply of the phones coming in.

— Dan Jones, Site Editor, Unstrung

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