The new hardware will come with a new OS, said Lawrence Harris, an analyst for CL King & Associates. "It's quite likely, actually close to a certainty, that they will show a new OS, new user interface and probably new hardware," Harris said in an interview with Wired. "This is Palm's last shot to prove it has what it takes to survive in a very competitive market."
The new Linux-based OS is code-named Nova, which Palm had previously said would debut sometime in early 2009. The new interface and hardware should help Palm better compete with devices like the iPhone 3G, BlackBerry and the G1, thanks to expected support for HSDPA networks (which it currently lacks). In fact, the new devices will have to do that, since Palm's financials have underperformed this year, to say the least.
"The good news for Palm is that folks are still talking about them and those making the trek to CES will likely pay attention to what they're saying," said Michael Gartenberg, vice president at research firm Jupitermedia. "If this event disappoints it's going to be hard for them to muster attention in the future." [Wired]