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ASUS Eee PC may find it hard to dominate in 2008

by Tarinder Sandhu on 13 March 2008, 16:13

Tags: ASUSTeK (TPE:2357)

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ASUS announced that it was bolstering its volume-selling, low-cost Eee PC with a range of second-generation models that - whilst priced higher than the £210 one currently pays for the base Eee 701 model - would provide larger screens, more-capacious flash-based drives, and WiMAX connectivity as standard.

Now, ASUS has acknowledged that it will be utilising the low-power Intel Centrino Atom processor, in its Diamondville guise, as brains behind the outfit, replacing the incumbent Celeron and keeping costs down.

What's just as interesting is that the company expects the majority of projected Eee PC-based sales in 2008 - some 60 per cent, in fact - to be based on models shipping with Microsoft Windows XP operating system, with Linux-based operating systems making up the bulk of remaining sales.

ASUS is also bullish on the continued success of the nascent Eee PC line, indicating that it expects to ship some 5m units this year.

The original Eee PC was a success because it found a rather large niche in the market and exploited it fully. Second-generation models, kicking off with the Eee 900, starting at a projected £299, will do battle with a plethora of other Atom-powered 'netbooks' and entry-level laptops. Success isn't as easy to come by second time around.

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