Intel vs OLPC - Both Competing For Laptops - Underprivileged Children
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Underprivileged children around the world most likely do not care who supplies them with a free laptop, but a battle is brewing for this third world market. Both Intel and OLPC (One Laptop Per Child) appear now to be in competition with each other to see who can provide the best laptop for the lowest price. Last week I had reported that the cost of the OLPC had risen to $175 per unit. Intel’s laptop is in the $250 range, but the company is hoping to drop that price by about $50 before going into production.
So whats going on here? Why is Intel so interested in a low end laptop market? One only needs to look at difference in the two laptops. The OLPS version is using a processor from AMD and naturally the Intel model is using their own processing unit. Outside of the CPU, both units are very similar and both can run either Linux or Windows software. At stake is a market that could potentially reach 100 million or more children.
Now the big question. While OLPC seems to be doing this for humanitarian reasons Intel could have their own agenda. In order to maintain market share against their archrival AMD, they must try and compete in this low end market.
Joanne Stern has written a comprehensive article on this battle and also has included a comparison chart over at Laptop - Mobile Solutions For Business & Life located here.
What’s your take? Is Intel going to win this David and Goliath battle?
Comments welcome.

4 Comments
Tim Hodkinson
April 29th, 2007
at 6:45pm
The whole thing is pretty strange to me. There must be some angle to being part of this high-volume/low-budget plan to source PCs to the Developing World. Is there money in this?
Because there’s never been a project like this, I wonder if MS feels they just have to be part of this because if it turns out to form a large chunk of users then it will give someone other than MS a large presence in a market and they’ll be left out.
As for Intel, isn’t there more money producing chips for regular systems than these small, appliance PCs? Or are they, like MS, afraid of someone else getting ahead of them in a market that just starting up?
Anyhow, the OLPC project looks very exciting and even if Intel/MS get involved with an alternative computing system, they don’t have the vision and mission that OLPC does. Without OLPC’s open-source software package, they’ll just be selling cheap laptops..
Ron Schenone
April 29th, 2007
at 7:34pm
Hi Tim,
I think for Intel it is about market share. I also hope that the OLPC project is a great success.
Ron
Tom Anderson
May 22nd, 2007
at 2:38pm
Another thing: Intel doesn’t power these OLPC systems, so therefore they can say whatever they want about them; even if it means trying to take all the more market share away from the third world computer industry.
Then again, “third world” is an archaic term, not used so much anymore. “Developing nations” is one that I racked up from reading web articles.
But I’m all for OLPC, this OpenBIOS and their Linux distro that they use and similar projects since:
A. It fulfills the need for kids/people who are in need of better educational tools over there.
and B. Creates competition in the world economy, which can be a good thing if with the right conditions!
Personally, if I were a needy citizen of some African country, I wouldn’t exactly care who was building the machine or what OS it uses. As long as it does the job it was intended to be doing, which is, of course, increase what they can learn and what they can yearn (for).
Tom A.
Ron Schenone
May 22nd, 2007
at 3:59pm
Hi Tom,
Thank you for your comments.
Ron