Laptops' Price Slide Continues

The inevitable has happened, Best Buy has introduced a laptop at a netbook price of $280 for an Acer laptop with a 15.6” display, 2gig memory, and a 160gig hard drive. When netbooks began eating seriously into laptop share last year it began to seem likely that there would be some form of convergence, of price or features or both. What will this do to manufacturer and retailer margins?