According to recent reports, things aren't looking so good for ultra-mobile PC maker OQO. Its model 2+ has yet to make it to production, and word is that retailers have canceled orders for the next-generation mini-PC.There's always been a special place in my heart for OQO and its ultra-mobile PCs. OQO computers have always run full Windows operating systems, but are still able to fit into a lab coat pocket. They are the ultimate in mobile computing power.

Alas, not enough believed in the OQO to actually buy one. They were a bit on the pricey side, after all. According to OQOTalk, a forum for all things OQO, the outlook is bleak. A moderator there writes:

I have been told by a few people in the know and also just from watching whats going on with OQO from reports on this forum. OQO is attempting to sell the company. It lacks the funds to keep going, cash is tight and work hours have been reduced. One has to wonder if it can still meet warranty claims as it starts to buy stock to build the 2+. I'm sorry to say this, but the 2+ might be the last OQO we see made. I don't even think we will see it.

Well, that's doesn't sound so good, does it? In response to the company's apparent troubles, European electronics retailer eXpansys has dropped its pre-order for the OQO model 2+. The company has already removed the OQO model 2+ from its Web site.

OQO lost its CEO late in 2008, and replaced it with one of the company's founders. Reports suggest that the company is looking for a buyer.

In the wake of the surge in smartphone sales, it probably shouldn't be much of a surprise to see a company such as OQO lose its footing in the market.