OLPC Project Set to Ship $150 Laptops

The so-called "$100 laptop" has moved one step closer to reality, with 2,500 units set to ship later this month to eight developing nations. If the small test proves successful, mass production of the units would begin.

Dubbed the "XO" Laptop, the units actually cost $150 to produce, however within a year they expect the manufacturing costs to fall to the $100 figure first presented by supporters. By 2010, they expect the units to dip below the $100 price target.

The initial production of five million units is currently scheduled for July. In this initial shipment, educators in Brazil, Uruguay, Libya, Rwanda, Pakistan, Thailand plus Ethiopia and the West Bank would receive the units.

Not everybody is applauding the move. Some say the costs of bringing the technology to children in developing nations would put too much strain on economies that are already struggling to meet the needs of its citizens. Furthermore, there is no proof that there would be positive benefit.

For example, olpcnews.com, which monitors the project, projected the costs for Nigeria using data culled by technology evangelist Edward Cherlin. According to the figures, installing the computers for every child would swallow up to 73 percent of the country's entire gross income.