No, WinCE version is not a problem.
But, power of your device is. Huge problem.
For NextGen for WinCE is very recommended to have device at least faster then 500MHz (800MHz+ is very desirable) and with more then 128MB of RAM (256MB and more is desirable).
And when we consider the launcher then the recommended values are minimal.
Use Primo 2.0 for your Mio, or even better iGO8/Primo 1.1
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