Handspring Cuts Price of VisorPhone by 80%

Handspring Inc. cut 80% off the price of an expansion pack that lets users of its hand-held computers make phone calls, as sales lagged expectations.

Handspring cut the price on its VisorPhone device to $49 when purchased at Handspring.com with a one-year service contract, its Web site said. In May, Handspring lowered the price to $249 from $299, the price when the device was introduced in December.

Shares of Mountain View, Calif.-based Handspring, which have fallen 86% this year, fell 52 cents to $5.47 on Nasdaq.