Intel to release low-cost laptop in the West

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March 20, 2008 / Times Online / Jonathan Richards

Summary

Intel, the world's largest chip-maker, has said it will let Western consumers buy a low-cost laptop originally designed for poor children in the developing world.
The US technology giant said it would team up with PC makers to release a new version of its Classmate PC, which sells in developing countries for $285 (£144), in the US and Europe - possibly by Christmas.

Intel's new laptop, which has been trialled at schools in Texas, Oregon, and California, will join a string of low-cost computers to have entered Western markets in the past year. Asus's Eee PC, which retails for £215 in the UK, has been popular since going on sale at the end of last year, while Elonex, a British firm, last month unveiled a new cheap laptop called the One, which will cost just £99.

The main reason such machines are so cheap is that they run on open-source software such as Linux, meaning manufacturers don't have to pay licence fees to companies such as Microsoft. They also typically have smaller screens, run on older chips, and dispense with certain features, such as CD drives.

Opinion

Having a low-cost competency is important. If the product is not something luxury, it becomes more reasonable. Just 50 years ago, people who have computer were very little. However, most of people in US or Europe have their own computer and it is related with them very tightly. At the same time, developing countries like Africa, India have been having difficult time buying a computer because of its high cost. To take away these kinds of problems, Intel release low-cost laptop.

There is a report said customers consider about the social responsibility that a company does when they invest or buy the products. For example, some people spend more money for the products which are more environmental friendly. According to the article, Intel wanted to make cheap laptop because they want to make the poor buy computer easily. This can make the brand value high, and then it brings the increase of selling.

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Entry # 14