The market has taught us that the $500 UMPC isn’t going to be seen any time soon. I’m convinced after a year of watching the OEMs build UMPCs that that’s the way they want it to be. I can’t blame them a $700-$1500 device makes more money than a $500 one.
But that’s not where the markets want to be. Sorry folks. We’re talking $500 at the most. Maybe, just maybe someone will figure out how to build an inexpensive system that’s worthy of being purchased, but I don’t see this in the UMPC crowd. UMPCs are being marketed as mid-range notebooks. I don’t see the price changing.
There is discussion though around the OLPC and the ASUS Eee PC. These $300+ notebooks are getting a lot of attention. For good reason. They are challenging the pricing spreadsheets that everyone seems to be going after. There’s no reason that low cost notebooks can’t be made. And I add, that there’s no reason these devices couldn’t’ be full-fledged Tablets for maybe a hundred more. I have my fingers crossed that someone will figure out how to do it. And make money from it.
Now in terms of the Tablet side, there is a problem At this point only Windows has the software support really needed, but unfortunately the price and the footprint are a problem–except maybe in terms of footprint XP would be OK. The price needs to be knocked down. If I were Microsoft I’d add an alternative shell that’s great for these form factors, knock of 50% for the price and let the market sing.







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