Yikes. This reeks of desperation. In order to spur sales and help sign up new customers, Sprint has effectively dropped the sales price of the Palm Pre to just $100. Even at $100, can it help save Palm and Sprint?I don't even want to know how bad things must be for Sprint to drop the price of the Palm Pre to $100 just three months after its release to the public. The phone went on sale in early June for $200, which was the price after a rebate, with a new, two-year contract. The $200 price point was hardly a deal breaker. (If you want to buy one sans subsidy, get ready to fork over $750). In comparison, Sprint is charging a whopping $350 for the HTC Touch Pro2.

This new deal is for new customers only. In other words, if you're already one of Sprint's paying customers, stop reading now. New customers will receive a $100 credit towards Sprint service if they buy a Palm Pre. The credit will be spread out over a three month period on users' bills. This deal basically lowers the cost of the Palm Pre to just $100 -- which, coincidentally, is the same price that AT&T sells the iPhone 3G.

According to Reuters, Piper Jaffray's Chris Larsen said of the deal, "We believe that the new promotion could indicate that net additions have been trending lower than the company expected for the third quarter." Gee, ya think?

Predictions of Palm Pre sales have been all over the map, and neither Sprint nor Palm has said exactly how many of the phones have been sold. The numbers can't be that good if Sprint is pulling a stunt like this to kick-start new subscriber numbers.

Anyhoo, if you're looking for a Palm Pre and want one on the cheap, this is your opportunity.