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Handheld computer maker Palm has said its income for the year will be far below expectations because of lukewarm sales of its smartphones.
Figures for the third quarter of the year show it shipped almost one million sets, but just over 400,000 actually ended up in customers' hands.
The company had expected to shift 600,000 models.
Palm shares fell 14% after the results were released. The company has now lost nearly half its value in 2010.