Foxconn Joins Alliance to Focus on Ultra-Cheap Netbooks

Posted by: Olga Kharif on March 11, 2009

Today, contract manufacturer Foxconn joined an alliance whose members seek to make ultra-low-cost PCs. The alliance members, which include chipmaker Via, plan to put out netbooks as well as laptops. And they are targeting an average selling price of $219. That’s quite low, considering that most netbooks sell for $300 to $400 today. Clearly, that’s more evidence that PC prices are falling, and that, during the current economic downturn, they could plummet much more severely than in the past. That’s bad news for companies like Hewlett-Packard, Dell and Acer, which will have to compete even more aggressively on price.

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Bloomberg Businessweek writers Peter Burrows, Cliff Edwards, Olga Kharif, Aaron Ricadela, and Douglas MacMillan, dig behind the headlines to analyze what’s really happening throughout the world of technology. Tech Beat covers everything from tech bellwethers like Apple, Google, and Intel and emerging new leaders such as Facebook to new technologies, trends, and controversies.

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