Hewlett-Packard has announced that it will buy the smartphone maker Palm. Both the companies have agreed for the deal at $1.2-billion. HP management is confident to resuscitate the struggling manufacturer of smartphone in US market. The company has said that it is optimistic to represent Palm as a possible competitor of the global leaders like Apple and RIM.

By this deal, HP will enter to the arena of technology in an international level. According to the analysts this has been the third-largest technology acquisition in US.

Now the world's top PC maker will have the license to produce and distribute Palm's devices at a global level. According to the gadget experts this move of HP is going to help it immensely. They believe that the company may receive a blistering growth soon.

However this news has came as a surprise to many of them in Wall Street. Because there were several other companies who have been in the front seat to acquire Palm. But at last it was HP who had the advantage over others and took over the company.