Palm Pre and what the sale price should be

When we first learned about the new Palm Pre (NASDAQ:PALM) the first thing that we all wanted to know was, when will the smartphone be launched. Now that we have the answer to that, we are now asking another important question, what the sale price should be.

The first reports showed that the Pre will launch with a price of $399, but that was the price for the nonsubsidized version. We should find out within the next few days how much Sprint (NYSE:S) will sell the new Palm Pre handset for, most agree that the price will be in the $199 to $299 region. Cnet feels that the price should be $149.

The big problem for the Pre is the Apple (NASDAQ:AAPL) iPhone, and that is due for another upgrade in June. The 8GB iPhone 3G costs $199, and there are plans for a cheaper entry-level model soon. T-Mobile and its G1 Google NASDAQ:GOOG) Android phones sells for $179, and with RIM (NASDAQ:RIMM) launching a range of cheaper Blackberry’s Sprint and Palm needs to get the pricing right for the Pre, and that magic has to be $149.