Reports are circulating that Dell is working on a modile media device to compete against the Apple iPod Touch.  The reports say that the operating system for the device is going to be Googles Android platform and that it will be just a little bigger than the iPod Touch. The device is not expected to have a phone built in to it and would be considered as part of a new category of gadgets called mobile Internet devices, or MIDs.

Dell has long been rumored to be making a smart phone, and this device is pretty close to a smart phone.  Some of the things it would need to be competitive with the iPod would be Music and Movie playback, built in wifi and browser, and heck, why not a camera as well. The iPod has a pretty firm hold on the Mobile Media market so this device would have to come out of the box as Spectacular if it hopes to catch up.

Dell supposedly started development of this device a year ago so lets hope they’ve put in some serious overtime and we get a REAL competitor to the iPod Touch! The device could go on sale as early as the second half of 2009, according to the Wall Street Journal’s sources, so keep your eyes on the Dell website!