) --



introduced the Pixi smart phone, a lighter version of its Pre cousin, and said it would be available in time for the holidays exclusively through


(S) - Get Report

, the current exclusive carrier of Palm's popular



Palm didn't announce pricing for the Pixi in a press release Wednesday, but said details would be announced closer to availability. It did confirm to the

Associated Press

it would be cheaper than the Pre.

Meanwhile, Palm said it lowered the price of the Pre to $149.99 with a two-year service agreement and after a $150 instant rebate and $100 mail-in rebate.

Palm Pixi

"The combination of announcing a new device and changing the price on the Pre show we're aggressively pursuing new customers to get them accessing the WebOS experience," said Katie Mitic, Palm's senior vice president of product marketing, in an interview with the



Separately, Sprint isn't offering customers a $100 credit to switch to the Pre from another carrier, a spokeswoman said, contrary to a promotion on the company's Web site Tuesday. The promotion on Sprint's Web site was a glitch caused by an error in Sprint's computer system, the




reported Tuesday the deal, which aimed to boost Sprint's Pre sales, required that new customers sign on for two-year contracts, and the payback would show up as credits in the first three monthly bills. The service was slated to run until Oct. 10, but

Sprint confirmed

in an email to

that it was pulled.

The Pixi has 8 gigabytes of internal user storage and comes equipped with Palm's latest operating system, WebOS. It also has a touch screen and a full QWERTY keyboard like the Pre. The Pixi is thinner than the Pre and also is lighter, weighing in at about 3.5 ounces.

In addition to linking a users information from Google and Facebook, the Pixi adds Yahoo! and LinkedIn integration.

"With Palm webOS, we're creating a new, more intuitive smart phone experience defined by unmatched simplicity and usefulness," said Jon Rubinstein, Palm's chairman and CEO, in a statement. "Palm Pixi brings this unique experience to a broader range of people who want enhanced messaging and social networking in a design that lets them express their personal style."

-- Reported by Joseph Woelfel in New York


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