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AMD to jointly sell cheap personal computers in India (Yahoo.com)
Yahoo.com reports
that AMD and HCL Infosystems plan to sell a personal computer for less than
10,000 rupees (220 dollars), in India. "The computer, which uses the
open-source Linux operating system, includes a 1.6 GHz processor, a 15-inch
monitor and 40 gigabytes of hard drive space. "Why is it that every Indian
doesn't have a PC on their list of things to get this Diwali but the
cellphone is there?" said Ajay M. Marathe, president of the Indian arm of
AMD. Diwali, the Indian festival of lights, is traditionally the biggest
shopping season in the country." (Thanks to Philip Webb)
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AMD to jointly sell cheap personal computers in India (Yahoo.com) Posted Oct 17, 2005 19:25 UTC (Mon) by RMetz (guest, #27939) [Link] "Why is it that every Indian doesn't have a PC on their list of things to get this Diwali but the cellphone is there?"
I recently wrote a huge research paper on this subject actually. They want cell phones because cell phones are useful to them. Economic analysis has shown overwhelmingly that computers provide very little benefit to people living in the third world while, for a HUGE number of reasons, cell phones are amazingly beneficial. It almost seems magic. It has been estimated that an extra 6 cell phones per 100 people in a developing nation increases GDP growth by 0.7%, which is nothing short of astounding. The Economist has published some great articles on this subject lately. In short, the digital divide cannot be tackled by distributing computers, initially. Cell phones, however, will do much to bridge the gap. Indians know what what is most useful to them, that is why they are buying cell phones and eschewing computers. Trust the people, they know what they need.
meeting more basic needs first Posted Oct 18, 2005 9:59 UTC (Tue) by copsewood (subscriber, #199) [Link] This (preference for cellphones in developing countries) doesn't surprise me. I saw a wonderful BBC TV program ending Michael Palin's (one of the Monty Pythons) Himalaya series where he visited a Bangladesh island. There a woman had set up a business with a Grameen micro-financed low-interest loan to buy a cellphone and solar charger (no other electricity on her island). She was able to trade the rice produced by the island for higher prices than had previously been available at the quays where rice had previously been shipped. The problem was that the buyers at the quays, when the suppliers had no market information, were easily able to operate a cartel to force down producer prices.
Perhaps someone will revisit the same island in 10 years time when the farmers can afford electricity and the children go to school and are able to use computers. But perhaps some more basic needs must be met first: electricity, basic communications, clean water, literacy.
AMD to jointly sell cheap personal computers in India (Yahoo.com) Posted Oct 18, 2005 14:25 UTC (Tue) by jvenu (guest, #33174) [Link] The reason mobile phones are popular is simple... they can be operated by anyone that knows numbers. People don't need to know English or Hindi, or even be literate to use a phone. And they get their job done with it.
Linux, (or Windows) on the other hand, is a different story. Once it is properly installed, and the user is trained, and the power is on, and an internet connection is available, and they have the inclination, maybe they will use it. Computers are still way too difficult for the average person to use.
Also, do not forget the network effect -- your phone becomes more useful with each other person that buys a phone. You may be a PC whiz, but what if no one can answer your IM "calls"?
A case in point is my own dad in India -- educated, retired CEO. Has no trouble using his mobile phone to set up golf tee times. Put him before a computer, and he is paralyzed.
Its all about usability and immediate value. Once a PC is as simple to use as a telephone, everyone will want it for Diwali.
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