Dell to resurrect its handheld business

Although it dabbled in portable music players and personal digital assistants at one point, Dell has since given up on those markets, preferring instead to focus on its strengths—PCs, servers, and peripherals. However, a story by DigiTimes suggests the company could soon resurrect its handheld business.

DigiTimes quotes Taiwanese sources as saying Dell is likely to team up with Foxconn Electronics to produce Windows Mobile-based handheld devices like smart phones and GPS PDAs. The move could be a response to Acer's buyout of Taiwan-based smart phone manufacturer E-Ten Information Systems, DigiTimes adds. Right now, Acer is the number three PC vendor on the global scale behind Dell and HP, so such a reaction might make sense.

As further evidence of Dell's aspirations, DigiTimes mentions that Dell hired former Motorola Executive VP Ron Garriques early last year and has been "reorganizing its team for handheld devices" ever since. The Texan PC vendor also discontinued its last PDA, the Axim X51, in April 2007. In preparation for an order from Dell, Foxconn is said to be doing some hiring too—this time from fellow Taiwanese handset manufacturers.

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