Apparently Dell’s mojo isn’t strong enough when they pitched their iPhone killer to the major carriers.  The prototypes, based on Windows Mobile and Android platforms, were rejected as being too ordinary and lacking differentiation from the crowd.  Says analyst Shawn Wu, about the computer maker’s first attempt at bringing a phone to the market:

“From our conversation with supply chain and industry sources,” Wu wrote, “it appears that it ultimately came down to lack of carrier interest and small subsidies, making it difficult for Dell to make a profit. In our view, the last thing Dell needs is to enter another money losing business as it seeks to preserve its operating margins of 5%-6%.” Wu noted that those figures compares with HP’s 11% margins and Apple and IBM at 15%.

Wu said Dell is “going back to the drawing board in designing a cell phone with more differentiation,” that could “likely involve vertical integration of some sort including software and/or services.”

I guess the market just doesn’t need another me-too device.  Better luck next time, Dell…

via AppleInsider.