17 thoughts on “With Netbooks, Intel Playing a Dangerous Game”

  1. Yes I think netbook makers (not Intel) have opened a whole new can of worms with cannibalization. I bet Intel had hoped that Atom would be put on a bunch of sexy-MIDs that are far less likely to replace a computer, not a bunch of bargain priced and barely usable notebooks.

  2. I see the point about subbranding though however some sort of association with the parent brand is still necessary because Brand Perception plays an important role. I was in Dubai recently and I saw a lot of Aspire ones and Mini 2133s but not any MSI Winds even though it’s a better machine. The problem mostly lies in HP and Acer being bigger brands. So if subbranding is to be undertaken you would be looking at tags like “By Acer” in some part of the promo campaign.

    As for the cannibalization of notebook markets. I couldn’t agree more. Netbooks are creeping into notebook markets with the introduction of 12″ and 13.4″ devices. The once distinct line is now being increasingly blurred. Question remains to what extent can netbooks and notebooks overlap. I’ve written a blogpost at http://www.kanjhan.com about this very topic.

  3. Also look at the NVIDIA Ion concept: Atom processor plus a modern graphics chipset (MCP79). ASUS has its S1xx lineup, the new $900 VAIO P from Sony, and the new OQO all use Atom processors, blurring the line between the old expensive ultraportables and new supposed netbooks. Intel wanted Atom to be a Netbook only solution, but its shown that it can scale up more than Intel may have wanted it to.

    A correction you need to make: Mika said in “her” report…

  4. Krewell, Nvidia’s ION concept is super sweet. Do you think Intel can or will try to limit the number of chips for use in the ION platform? My gut says they’ll try.

  5. Stacey,
    Officially Intel says they won’t. As for the reality – we’ll have to see.

    The irony of it all is just as Intel is promoting quad-core processors to mainstream users, this very little, single-core (but dual-treaded) processor has become the rising star. It’s a real quandary for Intel.

    If I can use a car analogy, car manufacturers would like you to buy their big SUVs and luxury cars, but sometimes all you need is a Vespa to move you around.

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