They were using the iPod product ID, which is also not kosher.

Palm are a bunch of whining thieves for pulling this stunt. They simply recognize that they can't deliver a solution to rival iTunes, due to both financial constraints and lack of talent (head count), so they think they can leverage the millions that Apple has spent to provide their phone with a syncing solution.

This is the exact same scenario as if HP didn't want to make their own scanning software and instead modified their firmware so people could use Canon's software. It's against USB spec, it's a DMCA violation and it's a breach of licensing agreements. I'm sure it can be argued in court to also violate copyright on the software.

If only Apple were a private company and not accountable to its shareholders and the SEC.