The race to provide cheap laptops to the developing world is heating up, with Intel working on a second computer priced under $200 and the One Laptop per Child foundation accusing the chipmaker of undermining its efforts. The individual machines aren't expensive, but because governments will buy them in volume and the technology is flexible, the financial stakes are huge.
One Laptop Per Child's founder, Nicholas Negroponte of MIT, accuses Intel of retaliating because the foundation's sturdy hand-cranked XO laptops run on AMD chips. Intel, which makes the Classmate and the new Eee, counters that the market is big enough for both. “There is plenty of room for numerous vendors,” a spokesman says.