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USB 2.0 supports a much higher data rate, so the cables can be even "less" long, so first answer first....
IN GENERAL... don't use extension cables with USB, they are short for a reason.
HOWEVER... for low speed devices, and the Axim, a quality extension cable is probably not going to hurt you.
Why not? The Axim doesn't really have a true USB port, it's a serial port, so the throughput from the computer to the Axim is already severely limited.... waaaayyy under USB maximum speeds.
That's one reason syncing over Wifi is so much dang faster than the cable. You are getting network speeds versus serial speeds.
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