Despite their high prices and high return rates, we've always had a soft spot for OQO. But the recent resignation of a CEO, retailer problems, and messageboard rumblings don't bode well for their future.

The next OQO, the Model 2+, had us drooling when it was announced... four months ago. It's still yet to see a release, which means the years-old 02 is the most current model OQO has on the market.

OQO's best-connected messageboard has reported that OQO is facing serious financial difficulty and that we're unlikely to ever see the 2+ go into production. In addition, Dennis Moore, former CEO of OQO, resigned back in September 2008, so we've been hearing these warning bells for awhile.

Worse, European retail giant Expansys has cancelled pre-orders of the 2+, giving some vague excuse about "uncertainties" over the handheld PC as a response to customers.

It's looking more and more like OQO is having some serious issues, which is a bad thing for us: Even if we couldn't afford their toys, they always trod their own path, which sometimes feels like a rarity these days. [JK on the Run]

Send an email to Dan Nosowitz, the author of this post, at dnosowitz@gizmodo.com.