Asus Eee PC First Thoughts
The Asus Eee PC 701 notebook was officially announced at the beginning of June at Computex Taipei. Today I met with Asus to get a close-up look at this new device and talk more about the company's goals with it. If Asus really can pull off selling this device for $250 …
Context & Ripple Effects
The Eee PC 701 has moved quickly from paper to prototype: Intel and Asus announced the machine at $199 at Computex Taipei at the start of June, and by mid-July NotebookReview is already getting a hands-on briefing directly from Asus on the company's goals for it.
The open question in this piece is pricing mechanics rather than hardware — Asus is aiming at roughly $250 per unit, and even its own partners treat that figure as unproven. Whether the number holds will decide whether this is a niche curiosity or the start of a real product line.
First-order effects
- Asus gets an early mindshare win on a device category it effectively defined at Computex, with Intel attached as silicon partner on a sub-$250 notebook.
- Buyers see a credible ultra-portable option priced an order of magnitude below mainstream laptops, contingent on Asus actually hitting the $250 target.
Second-order effects
- Rival notebook makers face pressure to answer with their own low-cost small laptops or cede the entry segment to the Asus-Intel pairing.
- Component suppliers gain a new volume channel if sub-$300 machines ship at scale, shifting some of the industry's cost focus from performance specs to bill-of-materials discipline.
Third-order effects
- If the $199-$299 band proves sustainable, the notebook market splits into a distinct low-cost tier alongside mainstream machines — a structural change in how PCs are segmented and sold.
The trend: Low-cost ultraportable notebooks are emerging as a distinct product tier, with the Asus-Intel partnership setting the reference price point others must match.