Palm has split its PDA products into two separate lines: Tungsten, for professional users; and Zire for the consumer market.

The first product in the Tungsten line has been announced: the Tungsten Mobile Information Management Solution. With Macintosh support, this offers wireless email, group software and collaboration tools. It's built to enable mobile workers to access corporate email, calendars, contacts, memos, to-do lists and data over secure, wireless networks.

"What a student or a suburban super mum wants from a handheld is fundamentally different from what an IT manager or a road warrior expects," said Todd Bradley, president and chief executive officer of Palm Solutions Group. He added: "We're serious about delivering what matters most to both groups: that's what Zire and Tungsten are all about."

The Palm Tungsten product line will deploy leading wireless and mobile technologies to maintain data security.

The Zire line will offer "snappy personal products". These are expected to provide leading technologies in consumer-friendly devices.

The first products are expected to ship in autumn. The company expects Palm sales to amount to five million units this year. The company has shipped over 18 million handhelds worldwide to date.

In related news, the company has announced revenues of $172.3 million in its first quarter of fiscal year 2003, which ended August 30. This is a 20 per cent fall from the $214.3 million reported in the year ago quarter. This resulted in a total loss of $36.4 million in the quarter.

In response, the company has increased its gross margins, cut inventory and operating expenses and hastened its cash-to-cash cycle to seven from 23 days.