I can't say I'm surprised or disappointed by this one.  In fact, go ahead and check out my post on the Palm Foleo from May 30 before you read on.

You're back now?  Okay.  Palm CEO Ed Colligan officially cancelled the much-maligned Palm Foleo "in its current configuration" with a post to the official Palm Blog today.  The Foleo, you'll recall, was a "mobile companion" device that promised all the size and price of a low-end laptop with less functionality and the caveat that you'd have to connect the thing to an online Treo to actually get any use out of it.

Okay, I'm being a bit harsh - Foleo was slated to be smaller and lighter than your average low-end laptop - but I really couldn't fathom what Palm was thinking when they took the wraps off of this one a few months ago.  And it seems pretty clear from this bit of Colligan's post that Palm's executive team realized that it was worth a giant pile of money to them to heed the writing on the wall and can this thing before it could do any more damage:

"This decision will require us to take a limited charge of less than $10 million dollars to our earnings. This is a lot of money, but it is a small price relative to the costs that would be required to support two platforms going forward."

Ouch.

Read Palm CEO Ed Colligan's official palm blog here.