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Now that phones are half a foot long and sell for more than $1,000, a San Francisco-based upstart says it's time for a smaller companion phone with a throwback name: Palm.

Starting next month, consumers can buy the credit card-sized Palm for $349 from Verizon Communications. Like a smartwatch, the Palm isn't designed to replace an iPhone -- it's more like an accessory for people who don't want to lug their main device to the gym or dinner.

"You have your SUV or minivan, but sometimes you want to take a spin in your sports car," said Howard Nuk, a co-founder of the startup, Palm Ventures Group.

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