Remember the model to which Palms were designed; they were intended to be extensions of a desktop PC, allowing the desktop to reach into places where it ordinarily couldn't go. The Palm is great for viewing and entering some kinds of data, but if possible, processing should happen on the PC. Take the example of Plucker, which uses the PC to preprocess websites for viewing on the Palm.
That's not to say that Palms are worthless in the processing department. The slowest Palm is capable of 2.7 MIPs (Million Instructions Per Second) and that's no joke. People have gotten Palms to do the most unlikely things, including playing (specially pre-processed) movies.