The GPS maker Garmin has delayed plans to launch its Nuvifone smartphone in the fourth quarter of 2008 until the first half of 2009.
Obstacles in dealing with the various individual needs of each cell phone carrier were cited as the reason for the delay.
Shortly before announcing its decision on the Nuvifon, Garmin posted weak second-quarter results and slashed its outlook for 2008.
The company has been hurt by slower growth in the personal navigation device (PND) market.
It results and the delayed launch of its smartphone sent its shares down more than 22 per cent.
The biggest US maker of navigation devices said the PND market, which it dominates with Dutch rival TomTom, has not been growing as fast as expected.
It said consumers were being more cost-conscious.
The outlook cut follows a difficult year for Garmin, as macroeconomic difficulties, competition and several new entrants have affected its prices and margins.
The stock has lost 70 per cent of its value since last October.
Garmin has not yet disclosed pricing and carrier details for the Nuvifone, which will compete against Research In Motion’s BlackBerry Pearl 8110, Nokia’s N95 and N82 multimedia phones and Apple’s iPhone.
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