Asustek May Use Google’s Android To Run Netbook

Asustek, know for their Asus motherboards and also for their sub $500 netbooks, may start using Google’s Android as their main operating system. The company is looking into an Android powered netbook which is currently under developed and is expected to arrive by years end. If Asus does proceed with their plans, this could further expand the rivalry between Microsoft and Google.

But will this really happen? The Bloomberg article also states that:

An Android-powered notebook would extend Google’s rivalry with Microsoft into the market for software that runs personal computers, where Windows controls more than 90 percent of the market. Netbooks, scaled-down laptops that offer basic e-mail and Internet functions, are the fastest-growing segment of the PC industry, with shipments projected to almost double this year as the overall market slows.

“With the strength of Google behind it, Android could really challenge Microsoft and steal some market share,” said Calvin Huang, a computer-industry analyst at Daiwa Securities Group Inc. in Taipei. “The benefit is the free license and you can use a lower-power, cheaper processor.”

Asustek shares have lost 9 percent this year to close at NT$33.50 today in Taipei trading. Microsoft has lost 7.9 percent to $17.91, while Google has gained 11 percent to $342.64 as of yesterday’s close in Nasdaq Stock Market trading.

Free Software

Google introduced Android in 2007 as a software system for phones. Android is based on Linux, an “open-source” operating system that’s free and developed by hundreds of engineers worldwide. Microsoft offers an operating system for handsets called Windows Mobile.

It should be interesting to see if Asustek does in fact introduce an Android powered netbook. This should help to keep Microsoft on their toes.

Comments welcome.

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