With Acer nibbling on its heels, Dell is reported looking to expand its product offer with a highly portable mobile Internet device (MID). The upcoming handheld is said to be a bit larger than Apple's iPod touch, feature a touchscreen, no cellular network support but lots of WiFi, and be loaded with the open saucy Android OS.

The compact MID may become available later this year via cellular carriers bundled with a mobile broadband plan so as to take on similar packages that include a netbook. Or, it may just be rejected by carriers and get back to the drawing board, you never know.