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TMCNet: ABI Research: Down Economy Could Help Alternative Netbook Operating Systems

[April 16, 2009]

ABI Research: Down Economy Could Help Alternative Netbook Operating Systems

Apr 16, 2009 (Close-Up Media via COMTEX) -- ABI Research points out that cash-strapped consumers and an economy in recession and are bad news for sales of most products.

But that may not apply to netbooks, the firm said. Several characteristics of the diminutive Web-oriented computers may actually work to their advantage in a depressed market.

ABI Research principal analyst Philip Solis said, "Netbook sales may not be adversely affected - in fact may actually be helped - by the recessionary pressures. There are three reasons for this. First, netbooks are a fairly new class of device, and widespread adoption has only recently begun. Second, they are relatively inexpensive, and some consumers may see them as a viable alternative to that pricey laptop they originally intended to buy. Finally, they can run inexpensive operating systems that don't require powerful hardware." Three out of every four netbooks shipped last year ran Windows XP as their operating system. That is changing. While much recent media attention has been focused on the trend to beef up netbooks and make them more laptop-like (and more expensive), the more important change has been at the lower end of this market. To create a lower-cost device designers are turning to Linux, and, for netbooks with ARM processors, to any of several mobile device operating systems such as Android.

Mobile OSs such as Android, Windows Mobile, and Maemo can still provide the core functionality required of a netbook, but at lower cost and with smaller storage and memory requirements.

Solis said, "ABI Research believes that 2012 will see the tipping-point at which netbooks running Linux-based and mobile operating systems outnumber those running Windows XP. Device vendors, chip-makers and mobile operators can take some comfort from the fact that this trend should help expand the market even in a down economy." ABI Research's newly updated "MIDs and Mobile CE Market Data" database provides shipment and revenue forecasts for all Ultra-mobile Devices (UMDs) including UMPCs, netbooks, and mobile Internet devices (MIDs).

ABI Research provides in-depth analysis and quantitative forecasting of emerging trends in connectivity.

((Comments on this story may be sent to newsdesk@closeupmedia.com))

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