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Samsung Series 5 cost $334.32 to make.[1] Your price expectations are way off.

[1]http://www.thechromesource.com/with-what-it-costs-to-make-is...



To be honest I expect a chromebook to be priced similar or at the very least $200 for me to be competitive with a more powerful/portable netbook.

His expectations aren't off, the manufacturing limitations just don't meet them.


Asus is going to sell(presumably) the eee x101 running MeeGo for 200$, with decent specs for a "net oriented" computer(1 core Atom, 1GB RAM, 8GB SSD), so aren't manufacturing limitations what drive them away from that price tag. May be Google doesn't want to be identified with the somewhat crappy experience that low end hardware may deliver, just as they don't want Android to be associated with cheap smartphones, but with the iPhone competitors.

Which would be silly because their "OS" is much more limited than Windows 7, even the Starter version, and its only compelling feature would be to run on much cheaper hardware.


I figured Google would try to use their ad-powered business strategy to lower the profit margin to near-zero or negative rather than competing against netbooks. Didn't PS3 sell hardware for much lower than cost to manufacture?

These things would sell like hotcakes for $200 and Google would grow in users and advertising revenue. I was just surprised that they're selling near netbook prices considering they're limited devices and tied so tightly into Google Services. I don't see them disrupting the mobile device industry with Chromebooks unless they decide that # of users is much more important than profit per sale.


Google doesn't price these Chromebooks, they only price their business/education rental program. I don't know why it's hard for people to believe that Samsung and Acer have control over their own products.


I wonder, how obnoxious and intrusive would the ads have to be before they earn back $150+ of revenue? Not sure I'd sign on to that.


Manufacturers price consoles below cost because most of the revenue will come from game sales (which they license rights to)... getting a chunk of $60 transactions is much more lucrative than trying to monetize with ads.


Sure, but I think the OP is right that the pricing makes it pretty unattractive given its limited benefits.




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