Turns out this isn't true at all. As it happens, Palm is only closing the few stores it owns, leaving most Palm-branded locations, the ones located in airports, open.

You see, a company called Airport Wireless owns and operates all 26 of Palm's airport stores under a co-branding agreement, making those stores immune to Palm's closures. So in the end only seven Palm stores - the ones located in malls - will be closing.

That doesn’t mean there won’t be changes afoot. For instance, the airport stores won't continue to operate under the Palm banner. Instead, according to a report in treocentral, they'll become Airport Wireless locations exclusively, as the retailer no longer sees the need to co-brand with a third-party.

And while Palm products will remain in stock, Airport Wireless says it will greatly expand inventory to include merchandise from the likes of Nokia, RIM Blackberry and Motorola as well.