Samsung, Lenovo lose preferential Atom CPU pricing

By on July 6, 2009, 12:53 PM
As the line dividing netbooks and entry-level notebooks continues to blur, Microsoft has been trying to make a clear distinction between the two to protect profit margins and ensure discounts are only awarded to devices that meet certain guidelines. For example, the company will sell a low-cost version of Windows 7 only for devices with a single-core processor, up to 250GB HDD or 64GB SSD, and no more than 1GB of RAM. Likewise, Intel has its own set of rules, and it seems as if they are not happy with Samsung and Lenovo’s latest offerings.

The company has reportedly punished Samsung and Lenovo by canceling their preferential Atom pricing, after the two companies broke Intel’s netbook restrictions. Considering both have or are planning to launch Ion-based netbooks, it would seem that Intel attempting to stamp down on Nvidia’s platform rather than anything else, but according to DigiTimes it has to do with screen size. Lenovo already launched its 12.1-inch Ideapad S12 whilst Samsung is expected to launch the 11.6-inch N510 this month. Intel, however, along with Microsoft have set the screen limit for netbooks to 10.2-inches or below.

Intel has declined to comment on this citing “customer confidentiality,” though I’d be interested to know if Acer’s recently launched 11.6-inch Aspire One 751 netbook was subject to the same penalty. Otherwise it would seem as if they’ve not learned a thing despite getting a record $1.45 billion antitrust fine in Europe recently.

User Comments: 2

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Guest said:

Rather brazen profit margin protection attempts by 2 corporate giants with histories of questionable (and several times prosecuted) marketing tactics... But is anyone really surprised by the whole thing?

Seems like the industry in general would benefit from lessened restrictions, allowing innovators to push the envelopes of what is out there with what is being supplied now, rather than forcing rather arbitrary and tight restrictions to keep their own markets partitioned off into nice neat packages they can easily manage (and control with an iron grip).

Perfect opportunity for nVidia and their mobile platform to team up with a good Linux version, and muddy the waters with faster performing systems touting larger screens, for the same prices... heh

tengeta tengeta said:

I don't see the anti-trust in this, its a stupid play by Intel and might actually open doors for AMD and VIA to take the netbook market by storm.

Although to admit, I don't see netbook when I see a screen that large. But to be honest, thats my opinion and not reality, someone else likely does see it as a netbook to them regardless.

Seriously whats next, is Subway going to come out and say "its not a sandwich if its not meeting quality F, side N, and size X" and then get Quizno's to change what they call them because of that?

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