Err, I was just looking at the specs on the latest Palm Tungsten handhelds. With the latest version of PalmOS and hardware, it is VERY similar to a Pocket PC. It too can do music, color pictures and some video (and is also quite pricey). So in revision, pocket pc's have Windows CE while palms have PalmOS, both of which are now quite similar. The only thing is, you'll probably find a lot more software for the WindowsCE one. But in all honesty, if I were to buy one now, I'd base it on aesthetic preference. I believe the most popular models for PocketPC's are the HP iPaq line and the Tungstens are the most popular Palm models.