Nokia N-Gage
2003-2005
The N-Gage was not a failure of ideas - it was a failure of implementation. Back in the year 2000, many people carried both mobile phones and handheld gaming devices. Nokia combined these two devices into one unit. A genius concept.
In practice it wasn't so genius, since the N-Gage had to be disassembled to change games, and there were only two good games available. The intensive development of the N-Gage spawned Finland’s thriving mobile gaming industry. Perhaps Nokia’s failure ultimately brought about the creation of the insanely popular game Angry Birds.
Additional info:
Newegg.com/ - The (Not Quite) Greatness of Nokia's N-Gage
Silicon.co.uk - Tales In Tech History: Nokia N-Gage