Palm's major differentiating factor is touch screen + keyboard. Why would they give that up? And why in God's name would they make a device with a non-replaceable battery? That's the one thing nearly everyone despises about the iPhone.

But the real issue has nothing to do with form factor. Palm needs to get the software fixed, fast. Still too many bugs, too few features, too limited cusomizability, and way, way too few apps. Making a clone of the iPhone with all the problems the Pre has would just point out all the more how weak WebOS is, today.

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