Acer Looks to Build on Netbook Gains - Page 2

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On the Android bandwagon

Lanci said Acer's main focus now was to be the global leader in smartphones and to eventually be number one in that market. That's a very tall order for a firm that doesn't have a product out yet to go against the likes of Research in Motion's BlackBerry and Apple's iPhone.

Lanci has previously said that Acer will release an Android-based smartphone before next year, but was noncommittal on Android-based netbooks anytime soon.

That is where they will have their work cut out for them, said Ryan Reith, senior research analyst for mobile devices at IDC. "There's a few other PC manufacturers trying to get into this space because Android opens things up and allows for such opportunities," he told InternetNews.com.

But these vendors are in a new market with new vendors – telcos – which operate very differently from the usual PC partners. What Acer has going for it, said Reith, is it owns a handset maker. It quietly acquired e-ten, a handset manufacturer that sells mostly in Asia and some in Europe.

"With that, I'm not quite sure how much of that they will leverage, but they did get professional and manufacturing capabilities, which could help them when they come to market with these devices," said Reith.

But HTC, developer of the first Android phone for T-Mobile, is not sitting still and has many new innovations in the pipeline. Other vendors are looking at bringing out Android phones as well, meaning Acer can expect a competitive challenge.

"If they come to the telcos with a me-too play with no innovation, they will probably get the worst of the worst deals because they are an unknown brand in this space," said Reith.