Would Dell Inc. (NASDAQ: DELL) ever want to immediately establish a footing in the wireless handset business? You bet -- and rumors have been feverishly circulating for years now on just when and how the global PC maker would enter the handset biz. After hiring Motorola's Ron Garriques over two years ago, the company still has not directly announced any wireless telephone products.Perhaps the company does not want to invest a ton of cash into a business with a slew of entrenched competitors? After all, the cellphone business is fiercely competitive and there are plenty of high-end and smartphone companies making excellent products. Why not just buy Palm Inc. (NASDAQ: PALM) and get it over with? That's maybe what is underfoot and brewing in Michael Dell's corner office right now.
After all, the about--to-be-released Palm Pre has set the mobile world on fire with its one-upsmanship against Apple, Inc.'s (NASDAQ: AAPL) iPhone, making some believe it's better in every way than the groundbreaking iPhone (which turns 2 in June). This isn't anything new, but the time may be perfect for Dell to snatch up Palm. The Pre is most likely the last hope for the company in terms of a blockbuster product that would pump revenues into the smartphone pioneer. With Michael Dell and Steve Jobs having been under each other's skin in the past, maybe Dell wants to up the game outside the PC arena and attack Apple on the smartphone front. Perhaps we'll see the Dell Pre 2 this time next year.
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