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The Axim is designed to stay on as long as it is in the cradle. You can turn it off with the power button, but if anything happens (such as an alarm) it will just stay on.
The cradle can charge an Ax while it is on.
Other posts have mentioned that the battery indicator varies.
It sounds like everything is OK.
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The world may not be perfect yet, but the Axim is (almost).
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