AOL’s USD 299 PC Deal

WSJ writes about AOL’s offer to provide a PC and printer for USD 299 to those who commit to its USD 23.90 service for a year. Comments John Robb: “It really does look like AOL is trying to change the model of the PC industry into something that looks closer to a combination of the game and telephone/cable businesses. Basically, give away at cost a loaded PC/printer configured to work optimally with AOL. Charge a monthly fee for services that include connectivity, communication tools, and content. Make it easier for customers to take advantage of existing premium features and content through preinstalled tool configuration. Create new upsale opportunities by extending itself into what is normally done in the PC world: anti-virus software services, firewall software services, PC repair services, and peripheral/software sales (that are optimized to work with the AOL PC).”

Am wondering what variation of the service can work in India. I think one has to look at PCs for sub-Rs 7K (USD 150), which means they need to be thin clients, which means they will need broadband connectivity (at least 256 Kbps).

Published by

Rajesh Jain

An Entrepreneur based in Mumbai, India.