Android Dell phone coming to AT&T

Dell plans to reportedly introduce a Google Android-powered device for the AT&T network in early 2010, but an official announcement hasn’t been made.

The new Dell smartphone reportedly has a touch screen, camera, and other features designed to take aim at the Apple iPhone.

Dell has suffered as both consumers and companies cut back on purchasing new computers and servers, which has drastically cut into Dell’s bottom line.  In 2009, Gartner and IDC predicted year-over-year PC shipment decline this year — the first spending decline since 2001 — and it may not get better until Q2 of next year.

In 2007, Michael Dell returned as CEO, looking to expand the company’s reach away from PCs — which is finally coming to fruition.  Earlier in 2009, the company was said to be developing a smartphone for the Chinese market, with a similar device anticipated for North American consumers.

To help combat declining revenue, a strong entrance in the mobile phone industry could greatly help Dell.  During an event in Beijing a few months ago, the company showed off a new “proof of concept mobile device” prototype that could be available in 2010.

If the company uses Android, Dell won’t be responsible for the core OS, as Google’s mobile platform is an open OS for anyone to use.  Furthermore, the PC maker will look to bundle Web and instant messaging apps into the phone, while predicting that the Android Market will continue to attract more developers.

Although there are a number of competitors in the growing smartphone market, Dell may be able to capitalize on its extremely popular online store — an ideal situation, as Dell mobile phones can be sold through AT&T and Dell, along with other brick and mortar retailers.