PalmSource have acquired Chinese mobile Linux vendor China MobileSoft, a well-known advocate of embedded Linux in China, where it specializes in embedded software stacks for smart phones and feature phones. Using Linux, PalmSource plans to offer the ease-of-use and flexibility that Palm OS is known for to all mobile phones.

"We believe the combination of PalmSource, CMS and Linux gives us the technological and market critical mass to compete with even the biggest proprietary operating system companies."

China MobileSoft has developed a version of Linux which is optimized for mobile devices, and has gone on to write several applications for the OS which are designed to run on mobiles. PalmSource plans to promote this - as well as their existing Garnet and Cobalt operating systems - into a broad range of mobile devices, including smart phones.