A split between two major suppliers has led to moribund sales of Windows mobile devices at a time when the smart phone market is booming.
i-mate said yesterday that it was sticking to its forecast that revenue for the year to March 31 will be in the range of $190m to $200m, down on the 2006 figure when sales grew 51% to $206m. It said this would lead to a marginal loss before taxation and a restructuring is underway which will be completed in May and is designed to save $3m a year.
Dubai, United Arab Emirates-based i-mate was hit when supplier, Taiwan-based High Tech Computer decided to concentrate on selling devices under its own name. Though it set up alternative suppliers, i-mate had teething problems with the new arrangements and was crippled with short supplies.
i-mate is pinning its hopes on a range of new devices that are on schedule for mass delivery starting in June.