Research Reports

Landscape Analysis of Low-cost Computing Devices

The information technology (IT) industry has an ongoing fascination with low-cost computing devices. The media and manufacturers alike have brought the topic to the public’s attention with new zeal every few years.

This report reviews and analyzes the evolving landscape of low-cost computing devices introduced or in existence between January 2004 and August 2008, with details on 93 devices. The report is based on extensive secondary data on low-cost devices that are currently available, recently discontinued, or projected to be available in the near future. The report examines global trends in this nascent sub-industry, the evolution of low-cost device segmentation strategies, and the roles of major manufacturers, semi-conductor and software companies.

Part 1 gives an Introduction to the Low-cost Computing Device Market, including an overview of recent events and a timeline of device introductions since January 2004.

Part 2 provides an overview of The Low-cost Computing Device Landscape, including important research findings and insights on the evolution of device types and manufacturers’ market strategies. This section examines the reason for the emergence of the sub-notebook device category, and the targeting of specific customer segments by device manufacturers. Special attention is given to the growing interest in technology adoption in emerging markets and the appropriateness for and availability of low-cost devices in those markets.

Part 3 offers Conclusions and Implications for the Information Technology industry. This section includes key findings and predictions for the near-term low-cost computing device market and the sub-notebook category.

This report contains two Appendices. Appendix A discusses the paper’s research methodology including the types of data sources used, the strengths and limitations of the data, the research phases, and the variables selected for investigation. It also contains a selection of useful web sources used in the research and brief descriptions of their content. Appendix B summarizes strategies of the major players in the low-cost market such as Asus, the OLPC initiative, Intel, VIA, and NComputing. This appendix also includes available information about market size and sales projections for selected models.

Release Date: December, 2008
Available format: PDF with accompanying Excel file
Pages: 37
Tables and Figures: 13 (see below for complete list)
Table of Contents: (see below)

Download Report and Data Sheet

Tables
Table 1: Chronological Summary of Significant Events and Device Introductions
Table 2: Research Variables
Table 3: Upper or Lower-Pyramid Target by Market Category
Table 4:  Analyst Forecasts of Sub-notebook Market Growth

Figures
Figure A: Low-cost Computing Device Availability – Manufacturer’s Reach
Figure B: Upper-Pyramid and Lower-Pyramid Device Announcements over Time
Figure C: Device Types Meeting Research Criteria
Figure D: Press Coverage of Low-cost Computing Devices
Figure E: Country-of-origin for Low-cost Computing Devices
Figure F: Prevalance of Types of Low-cost Computing Device Manufacturers (based on researched devices)
Figure G: Processor Manufacturers/Types per Model
Figure H: Processor Use by Company Type  
Figure I: Pre-loaded Operating System
 
Contents
Executive Summary and Recommendations
Key Terms and Concepts
Authorship
Data Sources
Key Terms
Part 1 – Introduction to the Low-cost Computing Device Market
1.    Early Initiatives
2.   OLPC and the Eee PC
3.   Changing the Market
Part 2 – The Low-cost Computing Device Landscape
1.    Low-cost Computing Device Market Dynamics
       A. Market Size versus Opportunity
       B. Price
       C. Adoption barriers in emerging markets
       D. Target Markets
2.    Solutions
       A. Common Configurations
       B. Form Factor
       C. The Sub-notebook Phenomenon
       D. Industry Leaders
       E. Manufacturers
3.    Software Trends
Part 3 – Conclusions and Implications
Appendices
1.    Appendix A: Data and Methodologies
2.    Data Sources
3.    Challenges and Caveats
4.    Appendix B: Market Leaders
Publication Information
Endnotes