The company's net loss for the third quarter, applicable to common shareholders, was US$98 million, compared to $57 million for the same period in fiscal 2008. The non-GAAP net loss was just under $95 million compared to $17 million a year ago.

Through its partners, Palm sold 482,000, a plunge of 42% year over year.

Without giving specific guidance, executives said Q4 will be equally challenging.

The company's future is widely seen to hinge on how well the Pre sells. The smartphone sparked a lot of excitement when it was .