According to this report on vnunet.com, PalmSource is working on a Linux based operating system. A low-end version of the software is scheduled to be released during the summer of next year. A high-end version of the software for smartphones is scheduled for the second half of next year, according to the report.

"We are delaying all development of products not directly related to this," said Patrick McVeigh, interim chief executive at PalmSource, during a teleconference to review the past quarter's financial results.