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OLPC Manufacturer to Sell $200 Laptop On Open Market
Posted by
Zonk
on Fri Mar 30, 2007 09:28 AM
from the now-we're-getting-somewhere dept.
from the now-we're-getting-somewhere dept.
srinravi writes "ArsTechnica reports that Quanta, the company manufacturing the XO laptops, has plans to begin selling low-cost budget mobile computers for $200 later this year. 'According to Quanta president Michael Wang, the company plans to leverage the underlying technologies associated with OLPC's XO laptop to produce laptop computers that are significantly less expensive than conventional laptops.' While OLPC plans to sell the laptops in bulk to governments, which will then distribute the hardware to school children, the XO computer itself is not for sale on the open market. These XO-like commercial devices are still something of an unknown, but it has been announced they'll be using Open Source software."
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They are very insistent on NOT releasing it? (Score:5, Insightful)
Re:They are very insistent on NOT releasing it? (Score:5, Insightful)
While they may have figured out how to market and distribute to the governments that are their primary customers, they may not want to deal with the private market for some reason. Smaller purchase quantities comes to mind. But, you'd think they could hire someone else to market and distribute.
Like you suggest, it might be that the product wouldn't hold up too well under the scrutiny of knowledgeable customers in a competitive marketplace. The original product is intended for people who know nothing about compuerts and don't know anyone else who knows anything about computers.
Parent
Re:They are very insistent on NOT releasing it? (Score:5, Insightful)
Anyway, first marketing costs? There are people practically begging to get these devices...and even willing to pay more than the "targeted" cost of ~$100. So, if there was ever a case of a product selling itself, then this is it.
Distribution costs are understandable. But at the same time, they have been saying that they won't take orders of less than a million (isn't that right?). So, it isn't necessarily a supply problem...that is if they could actually meet those demands. So couple that with the above paragraph and it seems like there would be at least one millionaire out there that would see this enormous opportunity to snap up a million or so of these and resell for a handsome profit.
All of this makes me casually raise an eyebrow. There are a couple of floating thoughts. First, maybe they feel like this is a *special* project and so only *special* (read: people in 3rd world countries) should get them. Second, (which the parent mentioned) is that maybe they aren't as high quality as us *non-special* (read: spoiled developed nation brats) would demand, and therefore wouldn't even sell in the first place. Third, (my own little thought) is that there are some interesting politics happening behind closed doors.
To the first, I say "get off your high horse" sell them at a markup and re-invest your profits in something you deem worthwhile.
To the second, I say "don't knock it till you (or some other schmuck) tries it". There is practically no potential for loss here. If somebody wants to purchase 1 million units, take their money and run...after you give them the laptops that is.
To the third I say, well actually I have nothing to say since I have no idea is this is the case or what is being said behind those closed doors.
I hope this project succeeds just as much as the next (excluding Dell, HP, Intel, etc shareholders) person. But let's not count any chickens (or laptops) before they hatch.
Parent
Support costs (Score:3, Insightful)
Cost of distribution and sales (Score:5, Interesting)
If that ends up bringing the cost of the laptop into the $300-$400 range, you're suddenly competing with the likes of Dell and other low-cost laptop manufacturers.
Parent
Re:Cost of distribution and sales (Score:5, Informative)
Read the article. Or the summary at the very least. The manufacturer tasked with building the laptops for the OLPC project has simply decided that it can use its experience to offer a very similar piece of hardware to the public at a low price. It's not the OLPC laptop, and it's not the much hoped for "buy one for $200 and a kid in Rwanda gets one free" deal that's been suggested. There's no reason to think that these laptops will be sold in bulk to governments.
Parent
Re: (Score:3, Insightful)
Re:They are very insistent on NOT releasing it? (Score:5, Interesting)
By the way, if any of the MIT people involved with this project have an explanation, drop a message in one of my JE's and I'll be delighted to walk over and be set straight.
Parent
Re: (Score:3, Informative)
Re:They are very insistent on NOT releasing it? (Score:4, Informative)
2) If the project works at all they will have huge economies of scale just selling to governments.
3) It is not difficult to get a development machine, if you get involved and write a little code FIRST (using an emulator, etc.).
4) Clearly, Quanta thinks they will be able to make them at scale and make even more than OLPC demands, based on this announcement.
Parent
Re: (Score:3)
Maybe, maybe not. I imagine a lot of geeks are in the same boat as me--I listen to the neat stuff they're doing with it, look at the pictures, and say "OMG it's adorable! I MUST HAVE one!" But when it came time to actually plop down my $200 (or whatever) I might take a closer look at the specs, listen to what other users had to say about it, and say: ya know, this doesn't really make sense for
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http://www.linux-hacker.net/cgi-bin/UltraBoard/Ul
Re:Special Charity Editions (Score:4, Informative)
Alas, I think you'll find that custom etching will run you more than $50. Still, this idea has some merit. They've said though, and it makes sense, that the reason they won't sell the OLPC machine is because as soon as there is a legit market for the things there will be nefarious individuals who will procede to steal the donated ones and recycle them back into the sale channel.
Parent
I'll buy two with ONE requirement. (Score:3, Insightful)
Re:I'll buy two with ONE requirement. (Score:4, Insightful)
Parent
Should sell well (Score:5, Informative)
Re:Should sell well (Score:4, Informative)
Parent
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Re:Should sell well (Score:4, Interesting)
Does anyone nowadays make a small computer with a decent sized keyboard and without a big flippy screen?
Take a look at AlphaSmart's portable computers [alphasmart.com]. The Neo goes for $250 and is roughly equivalent to a Model 100.
Parent
Re: (Score:2)
Maybe I should revisit.
In any case, I would actually LOVE one of these OLPC machines for my kids. They're always playing on my laptop: http://www.perfectreign.com/?q=node/51
They seem firm in their patronizing pity (Score:2, Insightful)
What I don't understand is how they think this is going to get manufacturing efficiencies in volume working for them? I mean, couldn't they swallow their liberal guilt a little bit and at least charge Bwana $300? I think we'd be willing t
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if you spend that much on a windows laptop then you sir are a foaming at the mouth moron. I bought a vista machine (and erased the OS as soon as I got it) for $699 this is a Dual core speed demon that plays doom3 nicely. I got it from a secret online store..... Dell.com
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Re:They seem firm in their patronizing pity (Score:4, Insightful)
I want a OLPC. An old laptop will not be as compact, will not be as robust, will not have as much battery life, will not have a nippy solid state disk and will not have nearly as good a screen for reading on. The old laptop probably wont have wireless and probably wont have excellent linux support, in fact it's likely to have some compatibility problems. Also I think the OLPC, or at least the green one, looks pretty funky...
It's a pretty clear choice for me.
Parent
Re:They seem firm in their patronizing pity (Score:4, Interesting)
Parent
Sans kill switch? (Score:4, Interesting)
I hope they do it (Score:5, Interesting)
There is a long list of diagnostic technologies which require a computer for analysing data in the field. At the moment this means using either a specialised system or a commercial ruggedized portable. In either case the overall bill for a small field lab goes into the many 1000$ range which makes this technology prohibitive for mass deployment. OLPC class hardware would have been the perfect replacement bringing the cost down into a range which will make it affordable.
So if the OLPC gets sidelined and the same kit is available commercially, personally I would give one big cheer. This will mean that people like Medicines sans Frontiers will finally be able to have proper diagnostic (and medical records) kit anywhere they go, no matter how in the middle of nowhere it is.
Distribution Control (Score:5, Interesting)
It makes sense to me to sell them outright to the general public but make them pay a fair market price to fund the distribution system so that real controls are in place to make sure that these things aren't sold in flea markets or used for nefarious purposes. I mean the intentions of OLPC are very honorable from an idealistic viewpoint- I'm just very worried that these things in the real world are just going to be too valuable to get passed down to the distribution chain to their intended recipients. We're sending what are essentially consumer electronic toys in to the heart of the poorest places on the planet and expecting that the people in control of these regions won't try to scheme and maneuver this project for personal financial or political gain. To prevent that real controls need to be in place and those controls can only be provided with a distribution system that is well funded. The funding should come from the people who want to buy these things as personal toys with the added benefit that there then will be less incentive for these things to end up on the black market.
Re: (Score:3, Insightful)
Allowing these to be sold by Amazon for $200, will disincentivize governments from buying them for $100 and trying to sell in bulk at a profit. If you know you can get a clean machine for $200 are you going to pay $100 + $n for a "dirty" machine? (where $n is large enough to make it worth their hassle)
Re:Distribution Control (Score:4, Informative)
I live in Uruguay, one of the early adopters of the OLPC program. I know it's tough to believe, but although our governments are corrupt and inefficient, we do have a somewhat working democracy, and this is one of the "hot" issues where the opposition (and people like myself) will be keeping close tabs on the government, which will probably ensure honest distribution.
Believe me, the opposition would like nothing better than a scandal involving this (it would slur the current governing party, which is a frontrunner for the next elections, plus it involves stealing from children so it would be doubly harmful), while the current government would tout it as a huge archievement and will use it as PR whenever it can ("we delivered a computer to every child in the country!!!").
Besides the political issue, there's also a mostly free press in Uruguay, Argentina, Brazil. Here we have an investigative TV show which likes to air cases like government officials using public cars, offices, etc. for private use, bribery, etc. and there are similar ones in Argentina and probably Brazil. It would be a huge coup (and ratings boost) to uncover such a case.
I have more faith in our public institutions and our press than I currently have for US press and institutions (see: US elections).
Parent
PCs like cell phones? (Score:3, Interesting)
Roll it all into one, you should expect GooglePC/BroadBand (beta ofcourse) sometime soon. If the hardward price drops far enough it can even sustain itself giving away the hardware and live on advertisements alone!
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Puzzled (Score:2)
How to lift children out of poverty. (Score:5, Funny)
2. Announce to Geeks around the world "You cant have one".
3. Give Laptop to poor child.
4. Poor child puts laptop on e-bay.
5. Geeks gets kool laptop.
6. Child no longer poor.
Hmmm (Score:4, Insightful)
OLPC not for sale, not a company (Score:4, Informative)
As far as the governments taking the laptops and doing something evil or keeping them from their intended users, does anybody know how far OLPC is going to step in with the education and support issues? Negroponte has said many many many times that OLPC is not a hardware project, it is an education project based on decades of research with children and computers. It would seem odd if they didn't send their own people out in the field to provide support and guidance to the teachers and students who get to experience the XO. I would love to be one of them!
Summary:
Quanta != OLPC
OLPC != hardware project
Simputer (Score:3, Interesting)
By the time it was released, it was overpriced and underwhelming. I wont be surprised is this device meets the same fate.
Subsidize sales to poor countries (Score:3, Interesting)
I'd pay $250.00 for one and they could take that extra $50.00 and use it to subsidize the cost of sending them to really poor countries and villages.
Why are they so fricking insistent on not selling them retail? I'd pay a lot to be able to whip out a bright green laptop and hand-crank it in the middle of a meeting. Don't mind me, please have your sales droid prattle on incessantly as if I weren't even here.
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Re:Here's an idea (Score:5, Insightful)
I know it might blow your mind, but there really are a lot of kids who live in areas that are somewhere BETWEEN the relative wealth levels of "must buy an iPod for my dog" and "must steal more cardboard for the roof". The XO isn't going to help a kid who can't lift her malnourished bones off the hardscrabble. The XO is going to help a kid who would have to travel 10mi to the nearest well-stocked library.
The cellphone has become a major boon for farmers in several countries-- they can call ahead and negotiate their crop's value before spending the resources to haul perishable product to an uninterested market. The XO may have other "game changing" advantages. It will only have the chance to make a difference if the rich people quit naysaying every last little nit based on their own shortsightedness.
Parent
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The XO is going to help a kid who would have to travel 10mi to the nearest well-stocked library.
In the rural U.S. community where I grew up, it was in fact 10 miles to the nearest well-stocked library.
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The government is already buying books for these kids, to the tune of about $20/year. Or not, in which case you can be sure they're NOT going to buy laptops. But if they are, then they convert the textbook into an ebook. Use of the laptop as an ebook pays for itself ... and then there's everything else you *might* do with it. Even if the teachers don't incorporate it into the curriculum, i
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These computers are not for starving children. We have to reach those by other means. What they aim is to provide better education for less (printing and shipping good books is very expensive) so that more money can be used in some other projects like bringing food and water to populations in need, with the added bonus of a better educated population for what amounts to essentially no
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But perhaps neither of us should repeat heresay? I have one; it's very well made. Anyway, it was Koffi Annan who broke the crank, not Nelson Mandela. The crank was a bad idea anyway since children can't generate enough power with their hands. That's why kids' bikes have footbrakes, not handbrakes. So the human power supply will probably be more like a yo-yo. You could just pull on the string, or tie it to a board and use your
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I would ask "Are you stupid?" but you've proven it adequately. You're thinking about this COMPLETELY wrong. Don't think of it has a "laptop". Think of it as "electronic book" with keyboard, touchpad, wifi, camera, usb slots, microphone, speakers, 400MBytes of free storage for book, convenient carrying handle, day-and-night screen, oh, and it also runs Python and a word processor and games. If you look at it that way, and then compare it to the money they're ALREADY spending on schoolb