It wasn’t a netbook at all, it was a thin client for an extremely underpowered mobile phone with a very outdated operating system.
Ignoring for a moment that the netbook craze was extremely short-lived and largely a placeholder for what people really wanted (sub $500 laptops), no attempt at any of these sorts of companion devices has ever achieved critical mass and Palm was right to cancel a product that wouldn’t have moved the needle. Why Samsung even bothers maintaining DeX mode is beyond me.
Another smart phone pioneer that struggled and was never able to adequately respond to the iPhone did release their own take on the Foleo. It was called the BlackBerry Playbook and it was an absolutely terrible tablet and a colossal failure.
Canceling Foleo in 2007 was prudent. It is a shame the post-Colligan Palm was never able to find success; webOS had many great ideas. But the Palm Foleo was a product that absolutely did not need to exist.