10 August 2008

Bundling Netbooks with Telecom Offerings

ASUSTek and ACER are in talks with Telecoms around the world to bundle their netbooks (low cost PCs) with wireless 3.5G services. The bundling will enable the netbooks to be sold for as little as 100 yen or one Euro. Digitimes reports:

In addition to Asustek Computer's cooperation with Japan-based telecommunication vendors to push out a 100 Yen (US$0.91) Eee PC bundled with 3.5G online services, the company is planning to push out a zero or one Euro (US$1.52) bundle with telecommunication vendors in Europe. Meanwhile, Acer is also planning to follow suit and will push out free netbook bundles as soon as the company solves its processor shortages, according to sources at telecommunication vendors.

Currently, Asustek's telecommunication partners are T-Mobile and TNT in Europe, and NTT Docomo and E-Mobile in Japan. Asustek has cooperated with E-Mobile over the 100 Yen bundle with its Eee PC 701 and the company is currently in negotiations with European telecommunication vendors for new bundles in Europe.

Acer has also talked with several telecommunication vendors for cooperation, which could bring the netbook bundle price down to zero which is the main reason Acer is still confident of achieving its shipments goal of five million units in 2008, the sources believe.

This is similar to the way phone manufacturers bundle their phones with telecom packages. For example my mobile phone was valued at NTD10,000 but on a two year package with my provider it only cost around NTD2,000. The bundling of the netbooks with 3.5G offerings is an impressive and innovative packaging deal that will continue to change the personal PC landscape. It seems this sector has a long way to go before their innovations run out of steam.

Digitimes: Asustek and Acer to cooperate with telcos for low-price netbook bundles

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