The Tungsten T features a high-resolution color screen, Bluetooth compatibility, 16MB of memory, and a collapsible form factor makes the device more pocket-friendly. Though the hardware is all new for Palm, it's really nothing that hasn't already been done on the PocketPC platform. Palm doesn't seem to be pushing the Tungsten's multimedia capabilities anyway, though the one-touch voice recorder should come in handy for business types.
It will be interesting if this new high-priced Tungsten, alongside Palm's value-targeted Zire PDA can spur buying, especially during the holiday season. At least with the Tungsten, Palm will have stiff competition from Palm OS licensees like Sony and Handspring, and even new players in the PocketPC game like Dell.