Apple Inc.'s (NASDAQ:AAPL) new iPhone OS 3.0 isn't exactly groundbreaking stuff, but its launch date later this summer could trip up Palm Inc.'s (PALM) much-anticipated new smartphone, says Canaccord Adams analyst Peter Misek. Research in Motion Ltd. (RIMM), meanwhile, needn't fret about the update, he adds.
The timing of the OS 3.0 launch during the summer appears as though it will coincide closely with Palm’s Pre release date," Mr. Misek wrote in report to investors. "The net effect could be somewhat detrimental for Palm, in our opinion."
At a preview on Tuesday for the OS 3.0, Apple unveiled several "incremental" improvements including a cut and paste application, better gaming, enhanced search, and improved navigation and connectivity.
The analyst also told clients that OS 3.0 will include push notification in an attempt to match RIM's BlackBerry technology.
He told clients:
While we believe this is still not equivalent to RIM’s push capability, it does appear to be a step in the right direction. In our view, Apple’s emphasis on the battery life and bandwidth benefits of push reinforces RIM’s technological lead and value proposition.
Mr. Misek reiterated his "speculative buy" rating and $110.00 target price on Apple. He also maintained his "buy" rating and $60 on RIM and his "sell" rating on Palm.