How Palm Got Cool Again The company created the handheld computer market, then sank into a miasma of infighting. But a little gadget called the Treo has given it a lifeline

The Treo 600 is the hottest cell phone on the market and by acclamation the first smartphone to actually deserve the name. And in a twist rich with irony, it may also be the gizmo that saves PalmOne, the successor to Palm Inc., which at various times has been both the beloved company Jeff Hawkins founded and his sworn enemy. Packing more processing power than early home computers had into a frame about the size of a deck of cards, the Treo 600 went on sale last fall and, despite an initial price tag of $600, became a runaway smash. About 100,000 units were sold in the first month. More than 250,000 have been sold to date, and another 800,000 are expected to move as production ramps up during the next year.