Dell is planning to launch an internet device in the second half of 2009 which will compete with Apple’s iPod Touch in the market. Rumors have it in the media that Dell will not feature a cellular phone in this internet device. That means the device falls in a seemingly new category of mobile Internet devices or MID.

Apple iPod Touch has become very popular and Dell now wants to step into in this MID market in order to grab some share of this market. Though reports out in the media suggest that Dell could market the internet device, which is slighted larger than iPod Touch, through mobile phone operator.

The internet device will be based on Google’s Android operating system and Dell has been working on the project for the last one year. Andoid is basically a platform for mobile phone, but Dell is now trying to use it to make a portable internet device where there will not be phone. Dell is rumored to be testing Android operating system for netbooks.

Well, now let us see if Dell can make some quick cash in through its Android-based portable internet device like Apple iPod Touch.

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CNET