Saturday, July 6, 2002
Simputer

A story in the San Jose Mercury News on the forthcoming launch of the Simputer:


Powered by an Intel StrongARM processor, the Simputer runs off two AA-size pencil batteries and comes equipped with 32 megabytes (MB) or 64 MB of random-access memory.

"In our trials, we found that `one size fits all' doesn't work because it also means one price and one particular configuration,'' said Deshpande. "We are now making a range of Simputers with different configurations and prices ranging from 10,500 to 23,000 rupees,'' he said. Equivalent to roughly $214 to $469, this figure compares to average annual Indian per capita income of about $450.

Trial orders have come from state governments, consumer goods companies and co-operative banks, all of whom are pushing into rural areas, where two-thirds of India's population of one billion live. At about $200, the Simputer would be three times cheaper than a PC, and cost nearly the same as a cheap colour television set.

"We are in the process of making about 200 Simputers this month and about 1,300 to 1,400 by September based on potential and existing orders,'' Deshpande said. The device allows personal data to be stored through a smart card, so enabling many users to share it. Sales of the Simputer are likely to rise to 50,000 by late 2003, Deshpande said. "The profit is not in delivering hardware but solutions (for end use),'' Deshpande said.

I think the price point of the Simputer is still too expensive. It needs to be half of what it is. Perhaps it will happen over time with volumes. It will have its uses, for sure, but at just 50K in volumes next year, it doesn't make much of a difference. A question to think about: what would we do differently to sell 5 million computers next year? My answer: think used PCs (thin clients) and server-based computing.

Thin Client-Thick Server | PermaLink

Comments

Simputer - Case dismissed?

I believe the
Simputer
is pretty much well priced even for starters. Starting at US$ 200.00, with increasing volumes, it is slated to go down to even US$ 180.00. Converting to INR, it works out to INR 9,000 - 10,000. Considering the fact that it provides basic personal computing services, plus MP3 audio facilities (currently does not support stereo playback), it is a very good beginning. Besides you can carry it around in the palm of your hand!

Simputer caters to the personal technology market. This is not the same demographic that would use a Thick Server. However, perhaps, it could reduce the market size for other computing options...


Posted by: Clinton Goveas on July 7, 2002 01:59 AM

Links to Additional Simputer Info


Posted by: Clinton Goveas on July 7, 2002 02:55 AM

The Simputer consists of hardware and software elements, and in its initial roll-outs, may incorporate a "service" proposition (sharing through smart cards, e-government initiatives, etc). Fortunately or unfortunately, the initial Simputer introduction will be a proverbial "curry pot".

In my opinion, the software elements are most note-worthy. If they get further focused development, Tapatap, IMLI, text-to-speech (these in particular) could provide very useful capabilities for future "thin clients" (which can and will be lower than USD100, and they don't all have to be used PCs ...).

In the typically sceptical and ferocious Indian response which will invariably accompany the Simputer introduction, hopefully the software "masala" will not be thrown out with the "curry pot".

Posted by: Mohan Narendran on July 7, 2002 09:18 AM

Here's a Slashdot thread on the Simputer.

Posted by: Rajesh Jain on July 8, 2002 10:47 AM

I agree with your statements that it is overpriced and the focus should have been more on application s/w and not so much on the h/w. Leave the h/w design to the Japanese/Chinese who know how to mass produce.
Also, the Simputer is more of a PDA and less of a portable PC. Therefore, the use will be limited. It will compete heavily with Palm, Handspring, PocketPC, etc. so I don't see a way for it to survive unless they open it up completely and rely solely on selling applications that run on top.
Given that the price of computing h/w drops by roughly 1% every week (by 50% in a year), the competition is likely to intensify in the future, not diminish. The only competitive advantage it may have is that it will be tailored to the local market be it India, China or some SEA/Latin American countries.
How about building in a Wi-Fi interface and then mass marketing Internet access from places like Udupi restaurants all over Bombay? People will pay the $200+ price if it includes "free" Internet access for the first year or something. It is good to dream...

Posted by: Ninad Mehta on July 8, 2002 08:27 PM

in web server launch the ppt reprsentaion

Posted by: shyla on March 20, 2003 03:00 PM

Insanity is forgetting to believe a few lies.

Posted by: Rojas Pablo on January 21, 2004 06:46 AM
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