Dell's Axim X51v series left in a lull

For the past few years, more and more customers have been moving away from traditional PDAs to Smartphones that can do it all. Dell saw its Q1 '06 shipments of PDAs drop by nearly 34% while HP saw a 30% decrease. The overall market for PDAs has been on the decline as far back as Q2 of 2005 and shrank by 19% in Q1 '06.

DigiTimes reports that Dell has stopped its PDA development altogether and has diverted the funding to its notebook division. According to reports, Dell turned off the faucet in 2005. Dell’s last all-new model was introduced in 2004 in the form of the Windows Mobile 2003 based Axim X50 series. The company then released a minor update in the form of the Axim X51 series which basically added the Windows Mobile 2005 operating system. From DigiTimes:

According to the sources, Dell's TDC switched all PDA-related R&D resources to the notebook segment in the middle of 2005, following the company's plan of reducing the number of its R&D staff at its handheld device division at the end of 2004. Dell has not announced new PDAs for almost a year and PDA products that it currently offers are old models that were introduced in 2004, indicated the sources. In addition, the PC vendor has not shown any moves in the PDA phone and GPS-enable PDA segments, the sources noted.

While it's not surprising that Dell has seen a steady decline in the sale of PDAs, it's even more surprising that Dell hasn't taken the opportunity to create a Smartphone using the Windows Mobile 5.0 based like the Motorola Q or Palm Treo 700w.

"You can bet that Sony built a long-term business plan about being successful in Japan and that business plan is crumbling." -- Peter Moore, 24 hours before his Microsoft resignation
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