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TMCnews Featured Article


May 12, 2009

Verizon Netbook to Hit Shelves May 17: Reports

By Michael Dinan, TMCnet Editor


 
Add telecom giant Verizon Communications Inc. to the list of big-name companies that reportedly are planning to sell increasingly popular, cheaper, Internet-optimized mini-laptops – devices known as a “netbooks.”

 
Already in this young month of May, we’ve the introduction a new netbook model that leverages the open source platform Android from Internet search and ad leader Google Inc., even as Apple Inc. tries to keep the tech media world guessing about its own rumored netbook or larger-size iPod Touch.
 
This week, The Wall Street Journal’s Amol Sharma reports, Verizon (News - Alert) sources are letting it be known – on background – that Verizon is pulling its “Hub,” a touchscreen IP phone, and replacing it with a netbook model. The Hub reportedly will continue to be sold online.
 
Meanwhile, netbooks – probably to the chagrin of the Taiwanese company that invented them less than two years ago – are emerging as a singular bright spot in the struggling consumer electronics industry. The success of the devices, which typically sell for about $400, even have led to earnings drops and lay-offs at IT stalwarts such as Microsoft Corp. and Lenovo.
 
Gizmodo reports that the Verizon will roll out the HP Mini 1151NR netbook on May 17, and that it will sell for just $199 with a 2-year contract.
 
Verizon’s main rival, AT&T (News - Alert), already sells several different types of netbooks.
 
Given the two companies increasingly head-to-head fight for subscribers – including a possible fight over iPhone (News - Alert) users – news about Verizon’s pursuit of a netbook isn’t surprising.
 
The company also is focusing more and more on its wireless division. Two weeks ago, Verizon posted 5 percent year-over-year growth in earnings for the first quarter, to $3.21 billion, besting analysts’ predictions. With what it called strong demand for its wireless services, Verizon – the United States’ second-largest telecom provider, which acquired Alltel (News - Alert) Corp. for $5.9 billion in January – also posted earnings of 58 cents per share for the quarter, up from 57 cents one year ago.
 

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Michael Dinan is a contributing editor for TMCnet, covering news in the IP communications, call center and customer relationship management industries. To read more of Michael's articles, please visit his columnist page.

Edited by Michael Dinan


 
 
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