Linux and OSS Keep Stirring Up the Sub-Notebook Market
by Sam Dean - Apr. 08, 2008Comments (3)- Related Blog Posts
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News is swirling this week about new forms of competition in the market for sub-notebook computers, and open source is driving change in this space--especially in terms of price competition. As I wrote before, Linux-based laptops are going through a renaissance at the moment, especially driven by the $400 Asus Eee PC. These small, useful systems are moving from the VIA chips they were based on to Intel's Diamondville CPUs. Everex's $399 Linux-based Cloudbook laptops are also generating buzz. Now, Hewlett-Packard has a new entrant in the space, with its diminutive Mini-Note, aimed at shoolchildren.
Hewlett-Packard's Mini-Note systems are based on VIA CPUs, with clock speeds available up to 1.6-GHz. Like most machines of this size and in this class, there is no optical drive (the MacBook Air doesn't have one either, nor does a Lenovo ThinkPad sub-notebook that I use). The systems start at under $500 for Linux-based models, but are slightly more expensive than competitors from Asus and Everex. They weigh less than three pounds, are Wi-Fi enabled, and have 8.9-inch diagonal screens. Loosely called "netbooks," HP officials say they expect 50 million of them to be in use in schools by 2011. (VIA has also just announced a series of initiatives aimed at open source developers.)
Interestingly, Hewlett-Packard foresees part of the market for these types of systems coming from adults who might choose to have a high-end laptop for certain tasks, and a smaller, more simple system for other portable tasks. This is exactly how I view the utility of the Eee PCs after owning and using one for several months. The Eee PC is great for toting to a conference and taking notes, or keeping around the house for browsing in any room, but I wouldn't use one as my primary machine. Check out the nice interview and analysis that Laptop Magazine did .
Asus sold more than 350,000 Eee PCs in the fourth quarter of last year, and the big news is that Asus is now offering a Windows XP-based version of the dimunitive systems while--get this--keeping the price at $399.99. As PC Magazine notes, Asus "struck a gold mine" with these systems. In addition, Intel has announced that it has sold tens of thousands of its small form factor Classmate PCs.
These new classes of sub-notebooks often get most of their pricing advantage by loading Linux as the operating system and open source applications instead of expensive choices such as Microsoft Office. This trend in the hot sub-notebook space is not lost on Microsoft, though, as evidenced by its deal with Asus. In addition, Microsoft announced this week that it will keep Windows XP Home going until 2010, while other versions of XP are slated to be phased out this year. Microsoft's move there is directly aimed at competing with low-cost Linux-based sub-notebooks. (The new Windows XP-based Asus Eee PC runs Windows XP Home.)
For an interesting look at a comparison of features and prices for some of the more aggressively positioned new sub-notebooks, check out the TaoofMac's nice matrix. The site also has a good photo-based tour of the Asus Eee PC, and CNet has an interesting discussion. Also see the Wall Street Journal's input.
The lowest priced machines in this space, which still maintain decent feature sets, have been Linux-based. However, with Asus offering Windows XP-based and Intel chip-based competitors at under $400, and Microsoft focused on low-cost sub-notebooks, much more competition is shaping up.
Do you think these Linux-based laptops have a bright future? Have you used one?
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