Palm Eos/Castle/Pixie set to spar with iPhone on AT&T's network

The mobile device market is heating up just a bit over the past few weeks, isn't it?  The latest bomb is that Palm isn't just throwing the Pre on Sprint's network, it is also building a WebOS competitor to the iPhone for AT&T.

On AT&T?!  That is iPhone territory. And you wonder why Apple has been knocking on Verizon's door?

The Palm Eos (codenamed Castle/Pixie) will cost $99 with a plan and be an ultra-thin version of the Pre with a non-slideout QWERTY keyboard.  It is expected out in Fall and certainly before the holiday season. 

Engadget got the picts, specs and the details:

It is an "astounding" 10.6mm thin, will measure just 55mm x 111mm (about 2.1 by 4.3-inches), weigh 100 grams, and will tout a 2.63-inch, 320 x 400 capacitive display (that's 80 pixels less than the Pre or iPhone).  It also sports:

    * 4GB storage
    * Price: $349 (pre-rebate) ($99 after)
    * Camera: 2 megapixel fixed focus digital camera and flash / video capture
    * Connectivity: Bluetooth 2.1 w/ A2DP and EDR, USB 2.0 via micro USB
    * Removable 1150 mAh battery (4 hours 3G talk time)
    * Messaging: SMS, MMS (picture and video only), integrated IM client
    * Contact sync with AT&T Address Book
    * MediaNet
    * Cellular Video
    * Email: POP3, IMAP4, and EAS support
    * A-GPS
    * Audio: WAV, MP3, AAC, AAC+ ringtones
    * Video Playback: MPEG4, H.264, H.263

All of these figures are great, but the most important differentiator in this economy is price. This is aimed aimed at a more budget conscious consumer than the original iPhones have been.  $99 is a nice entry point, but I'd like to see some reasonable data plans as well.   That is where the real cost is for these types of devices.  As someone who pays over $100 a month for what is basically unlimited data, I am looking for a more competitive plan.